Spring 2016 Q8

judyohjudyoh
in W-08-Indication
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Why do we not trend the catastrophe load? My approach was to develop reported loss + ALAE using excl CAT triangle, then add the CAT load, THEN trend so that the CAT load is trended as well but it looks like we are not supposed to trend that.

Comments

  • GrahamGraham

    The question states "projected" cat load of $235 per exposure so I assume it has already been trended forward to the appropriate period.

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