Experience Rating: How Much Do You Really Know?
Submitted by Kathleen McGrath on Mon, 03/08/2010
What does a group's LTD experience really tell you? How much of the experience is a "known known" versus a "known unknown"? The goal of experience rating is to predict future results based on past experience. This, in itself, is both art and science as the past may not lead to similar results in the future. But one often overlooked issue is the certainty of past experience.
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