Fall 2017 #15
Hi,
For Fall 2017 #15: We already calculated Premium Deficiency = 4687, but it's stated in the conclusion that "Note that there is no premium deficiency or DPAE for facility given that net unearned premium = premium liabilities". Please help on how to understand this reasoning.
A general question: Just want to confirm that the calculations in our Wiki (max(0, UPR-PolLiabs(UPR)+UEComm)) is "max DPAE" instead of "DPAE" right?
(seems like it's the case based Javid's reply in here, but would like to confirm)
Thanks in advance!
Comments
For your first question, please see Graham's 2nd to last response at https://www.battleactsmain.ca/vanillaforum/discussion/58/apv-premium-liabilities-fall-2017-15.
For your second question, yes, it is max DPAE