PPP_Model function

PPP_Model (Collective Panjer & Piecewise Pareto Model) Object

Constructor function for the PPP_Model object

PPP_Model(
  FQ = NULL,
  t = NULL,
  alpha = NULL,
  truncation = NULL,
  truncation_type = "lp",
  dispersion = 1,
  Status = 0,
  Comment = "OK"
)

Arguments

• FQ: Numerical. Expected claim count of the collective model.
• t: Numeric vector. Vector containing the thresholds of the Piecewise Pareto distribution.
• alpha: Numeric vector. Vector containing the alphas of the Piecewise Pareto distribution.
• truncation: Numerical. If truncation is not NULL and truncation > max(t), then the distribution is truncated at truncation.
• truncation_type: Character. If truncation_type = "wd" then the whole distribution is truncated. If truncation_type = "lp" then a truncated Pareto is used for the last piece.
• dispersion: Numerical. Dispersion of the Panjer distribution (i.e. variance to mean ratio).
• Status: Numerical indicator if a function returns a PPP_Model object: 0 = success, 1 = some information has been ignored, 2 = no solution found
• Comment: Charakter. An optional comment.

Examples

PPPM <- PPP_Model(2, c(1000,2000), c(1,2), dispersion = 2)
PPPM