Loss development factors or LDFs are used in insurance pricing and reserving to adjust claims to their projected ultimate level i.e to Ultimate Claims. Insurance claims, especially in long-tailed lines such as liability insurance …
Bornhuetter Ferguson Technique: If the development is maturely immature.
What is Bornhuetter Ferguson Technique The Bornhuetter Ferguson technique (BF Method) is a method for calculating an estimate of an insurance company’s losses. The Bornhuetter Ferguson technique, also called the Bornhuetter …