« Pity my dentist | Main | Thank-you note »

Comments

Feed You can follow this conversation by subscribing to the comment feed for this post.

silly things

"healthy customers" are analogous to residents with homes in areas that are not hurricane-prone; do we think they are carrying hurricane insurance?

The above is not an issue for a good disaster insurance co for 2 reasons.

1. disaster insurance companies operates over both space and time (not just space).

2. disaster insurance insures against different uncorrelated disasters. Places without hurricane may have earthquake.

Kaiser

ST: Good comment. The problem for a hurricane insurer is to find customers who won't need payouts when a hurricane hits, otherwise it will go bust every time. This spatial concentration is unique to the hurricane (natural disaster) insurance business.
Insurers do not put premiums collected from hurricane policies in the same risk pool as those collected from earthquake policies. In fact, some even ring off Florida policies into its own risk pool precisely because other states that are not as exposed to hurricanes do not want to be in the same pool as Florida.
The book discusses all this in greater detail. The point is that in reality, you can only put people into the same risk pool if they feel like they are "fairly treated".
There is something called reinsurance that pools together policies from uncorrelated disasters. I think those structures are a disaster waiting to happen. Will write more about that in the future.

Maria

I frankly hope that not repeat disaster from previous hurricanes.

http://www.viewheadlines.com/News/Article.aspx?i=17939&t=Tropical-storm-plus-oil-slick-equals-more-fear-and-uncertainty

Insurance Claim Help Florida

The next major hurricane to hit Florida should answer all your questions.

The comments to this entry are closed.

NEW BOOTCAMP



Part-Time Immersive
Fall 2019


Link to Principal Analytics Prep

See our curriculum, instructors. Apply.
Kaiser Fung. Business analytics and data visualization expert. Author and Speaker.
Visit my website. Follow my Twitter. See my articles at Daily Beast, 538, HBR.

See my Youtube and Flickr.
Numbers Rule Your World:
Amazon - Barnes&Noble

Numbersense:
Amazon - Barnes&Noble

Search3

  • only in Big Data

Next Events

Aug: 15 NYPL Analytics Resume Review Workshop, New York, NY

Past Events

Jun: 5 NYPL Public Lecture on Analytics Careers, New York, NY

Apr: 2 Data Visualization Seminar, Pasadena, CA

Mar: 30 ASA DataFest, New York, NY

See more here

Courses

R Fundamentals, Principal Analytics Prep

Numbersense: Statistical Reasoning in Practice, Principal Analytics Prep

Applied Analytics Frameworks & Methods, Columbia

The Art of Data Visualization, NYU

Signed copies at McNally-Jackson, NYC

Excerpts: Numbersense Ch. 1, 7, 8. NRYW

Junk Charts Blog



Link to junkcharts

Graphics design by Amanda Lee

Community