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Bonus-Malus Systems: “Lack of Transparency” and Adequacy Measure
Published online by Cambridge University Press: 29 August 2014
Abstract
Based on a recent contribution by Baione and others in this Journal, some consequences of the decrease of the mean merit coefficient for portfolios of Bonus-Malus policies, and some alternative ways to measure the “quality” of a Bonus-Malus system are discussed.
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