MLchartDataset catalogue

Credibility

Term · Insurance and risk management · MLC-T-INS-001019

A measure of the predictive value of past loss experience for forecasting future losses. Actuaries use statistical methods to determine the weight given to an insured's own loss data versus industry-wide experience when setting premiums. Full credibility is achieved when an insured's data is extensive enough to be fully relied upon without reference to external benchmarks.

Table 1. Record
IdentifierMLC-T-INS-001019
FieldInsurance and risk management
Record as JSON 
{
  "id": "MLC-T-INS-001019",
  "term": "Credibility",
  "field": "Insurance and risk management",
  "definition": "A measure of the predictive value of past loss experience for forecasting future losses. Actuaries use statistical methods to determine the weight given to an insured's own loss data versus industry-wide experience when setting premiums. Full credibility is achieved when an insured's data is extensive enough to be fully relied upon without reference to external benchmarks.",
  "url": "https://mlchart.com/terminology/insurance/credibility/"
}

Record 820 of 3,682 in Insurance and risk management terminology (MLC-0106). Request the full dataset.