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Modelling the disability severity score in motor insurance claims: an application to the Spanish case


  • Miguel Santolino

    () (Faculty of Economics, University of Barcelona)

  • Jean-Philippe Boucher

    () (Département de Mathématiques, Université du Québec à Montréal)


Bodily injury claims have the greatest impact on the claim costs of motor insurance companies. The disability severity of motor claims is assessed in numerous European countries by means of score systems. In this paper a zero inflated generalized Poisson regression model is implemented to estimate the disability severity score of victims in-volved in motor accidents on Spanish roads. We show that the injury severity estimates may beautomatically converted into financial terms by insurers at any point of the claim handling process. As such, the methodology described may be used by motor insurers operating in the Spanish market to monitor the size of bodily injury claims. By using insurance data, various applications are presented in which the score estimate of disability severity is of value to insurers, either for computing the claim compensation or for claim reserve purposes.

Suggested Citation

  • Miguel Santolino & Jean-Philippe Boucher, 2009. "Modelling the disability severity score in motor insurance claims: an application to the Spanish case," IREA Working Papers 200902, University of Barcelona, Research Institute of Applied Economics, revised Jan 2009.
  • Handle: RePEc:ira:wpaper:200902

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    References listed on IDEAS

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    Motor accident; disability severity; zero-inflated generalized Poisson model; disability scoring scale.;

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