Advanced Search
MyIDEAS: Login to save this article or follow this journal

The role of the unexpired risk reserves and outstanding loss reserves in general insurance business

Contents:

Author Info

  • PARTACHI Ion

    ()
    (Academy of Economic Studies of Moldova, Republic of Moldova)

  • VEREJAN Oleg

    ()
    (Academy of Economic Studies of Moldova, Republic of Moldova)

  • BRADU Marcel

    ()
    (Academy of Economic Studies of Moldova, Republic of Moldova)

  • VEREJAN Victoria

    ()
    (Academy of Economic Studies of Moldova, Republic of Moldova)

Registered author(s):

    Abstract

    The intent of this article is to introduce the topic of both Unexpired Risk Reserve and loss Reserving, especially of the Incurred but not reported reserves (IBNR). We will focus on the purpose, common definitions and basic principles. We will explore the common techniques used by practicing actuaries in estimating of Unexpired Risk Reserve and loss reserves. Unexpired Risk Reserve is the present value of loss and expense payments to be provided for by premiums covering the period from the valuation date to expiry on all contracts in force on the valuation date. A loss reserve is a provision for an insurer’s liability for claims. Loss reserving is a major challenge to the casualty actuary because the estimation process involves not only complex technical tasks but considerable judgment as well. This are a critical point, as the actual financial reserves in the accounts has a direct impact on shareholder’s equity, solvency, and also on underwriting profit.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.management.ase.ro/reveconomia/2009-2s/11.pdf
    Download Restriction: no

    Bibliographic Info

    Article provided by Faculty of Management, Academy of Economic Studies, Bucharest, Romania in its journal Economia. Seria Management.

    Volume (Year): 12 (2009)
    Issue (Month): 2 Special (July)
    Pages: 58-66

    as in new window
    Handle: RePEc:rom:econmn:v:12:y:2009:i:2special:p:58-66

    Contact details of provider:
    Postal: 6 ROMANA PLACE, 70167 - BUCHAREST
    Phone: 0040-01-2112650
    Fax: 0040-01-3129549
    Email:
    Web page: http://www.management.ase.ro/
    More information through EDIRC

    Related research

    Keywords: reserves for unexpired risks; equalization loss reserves; outstanding loss reserves; IBNR; claim rate; average cost per claim method; run-off triangle;

    Find related papers by JEL classification:

    References

    No references listed on IDEAS
    You can help add them by filling out this form.

    Citations

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:rom:econmn:v:12:y:2009:i:2special:p:58-66. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ciocoiu Nadia Carmen).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.