Casualty Actuarial Society

Module 1 consists of 32 slides.

By the end of the module, you should understand:

• The difference between simple linear models and generalized linear models (GLMs), and how GLMs overcome many of the limitations of simple linear models.

• How to specify GLMs that are commonly used to model insurance data.

• The differences between GLMs and minimum bias procedures.

The relative advantages and disadvantages of modeling frequency and severity separately, versus constructing one model for pure premium.