Modelling Unobserved Heterogeneity in Claim Counts Using Finite Mixture Models

When modelling insurance claim count data, the actuary often observes overdispersion and an excess of zeros that may be caused by unobserved heterogeneity. A common approach to accounting for overdispersion is to consider models with some overdispersed distribution as opposed to Poisson models. Zero...

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Detalles Bibliográficos
Autores: Bermúdez, Lluís, Karlis, Dimitris, Morillo, Isabel
Tipo de recurso: artículo
Estado:Versión publicada
Fecha de publicación:2020
País:España
Institución:Universidad de Barcelona
Repositorio:Dipòsit Digital de la UB
OAI Identifier:oai:diposit.ub.edu:2445/149148
Acceso en línea:https://hdl.handle.net/2445/149148
Access Level:acceso abierto
Palabra clave:Anàlisi de regressió
Variables (Matemàtica)
Assegurances d'automòbils
Regression analysis
Variables (Mathematics)
Automobile insurance
Descripción
Sumario:When modelling insurance claim count data, the actuary often observes overdispersion and an excess of zeros that may be caused by unobserved heterogeneity. A common approach to accounting for overdispersion is to consider models with some overdispersed distribution as opposed to Poisson models. Zero-inflated, hurdle and compound frequency models are typically applied to insurance data to account for such a feature of the data. However, a natural way to deal with unobserved heterogeneity is to consider mixtures of a simpler models. In this paper, we consider k-finite mixtures of some typical regression models. (...)