The paper develops a design of optimal Bonus-Malus System （BMS） based on exact equitable credibility,in which the relative error function is taken as loss function. In BMS,both the frequency and the severity compone...The paper develops a design of optimal Bonus-Malus System （BMS） based on exact equitable credibility,in which the relative error function is taken as loss function. In BMS,both the frequency and the severity components are considered. This design is compared with traditional BMS derived from classical squared-error loss function.展开更多
基金Supported by the National Natural Science Foundation of China（70271019）.
文摘The paper develops a design of optimal Bonus-Malus System （BMS） based on exact equitable credibility,in which the relative error function is taken as loss function. In BMS,both the frequency and the severity components are considered. This design is compared with traditional BMS derived from classical squared-error loss function.
