Abstract. This paper focuses on the problem of an optimal stream of premiums in a multiperiod credibility model. Formulas are derived for given claim history (screening) and individual information unknown for insurance company (signaling) but under the assumption that the coverage period is not fixed because of e.g. lapses, renewals, deaths, total losses etc. It is shown that the derived stream reflects better the corresponding risk than other approaches.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.