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| rev | Admin | (Created page with "An insurer is considering a rate change for annual policies effective Nov 01 of Calendar year 2 to June 30 of Calendar year 3. The insurer uses the loss ratio method for ratemaking. The insurer assumes the following: *Projected accident year 1 ultimate losses equal $1,500,000. *Accident year 1 earned premium at current rates equals $2,250,000. *The effective annual loss cost inflation rate equals 3.5%. *There are no fixed and variable expenses. *The target profit perce...") | Jul 25'24 at 19:44 | +665 |