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Record W4409560806 · doi:10.1093/jrsssc/qlaf030

Investigating the effect of climate-related hazards on claim frequency prediction in motor insurance with incomplete data

2025· article· en· W4409560806 on OpenAlexaff
Tsz Chai Fung, Himchan Jeong, George Tzougas

Bibliographic record

VenueJournal of the Royal Statistical Society Series C (Applied Statistics) · 2025
Typearticle
Languageen
FieldEconomics, Econometrics and Finance
TopicInsurance and Financial Risk Management
Canadian institutionsSimon Fraser University
Fundersnot available
KeywordsActuarial scienceEconometricsEnvironmental scienceBusinessComputer scienceEconomics

Abstract

fetched live from OpenAlex

Abstract A climate-related dataset provided by a Greek insurance company is analysed to quantify the risks that weather-related hazards, driven by climate change, pose to motor insurance. However, accurately modelling the relationship between these hazards and claim frequencies is challenging, largely because the available records are incomplete. Specifically, they capture only those storm events that result in at least one claim while omitting unreported events. To address this limitation, we introduce a novel class of compound frequency models for the joint analysis of storm occurrences and the corresponding claim frequencies with accurate predictive power. These models are specifically designed to recover the joint distribution of actual storm events and underlying claim processes even when faced with incomplete data. Additionally, we incorporate geospatial covariates to evaluate their influence on both storm occurrences and claim frequencies. Given Greece’s vulnerability to extreme weather due to its geographical position, understanding the influence of climate change on insurance risks is critical. Notably, our findings reveal a negative intrinsic dependence between actual storm counts and per-storm claim frequencies, suggesting potential diversification benefits for insurers as climate change leads to more frequent weather-related hazards.

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

How this classification was reachedexpand

Full frame machine prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. The Gemma side is a direct model label for every work in the frame, read from the title-only record. The Codex side is a classifier learned from the 10,348 direct Codex labels and calibrated to design-weighted sample rates; fields without enough sample support carry no Codex call. Candidate is the union of the two sides; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels.

metaresearch head score (Codex)0.014
metaresearch head score (Gemma)0.038
Version: metacan-v3-hybrid-931329e0061cValidation status: machine_predicted_unvalidated
Candidate categoriesnone
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Simulation or modeling · Consensus signal: none
GenreCandidate signal: Empirical · Consensus signal: Empirical
Teacher disagreement score0.019
Threshold uncertainty score0.075

Distilled classifier scores by category (both heads)

CategoryCodexGemma
Metaresearch0.0140.038
Meta-epidemiology (narrow)0.0000.000
Meta-epidemiology (broad)0.0010.001
Bibliometrics0.0020.001
Science and technology studies0.0000.001
Scholarly communication0.0010.001
Open science0.0010.001
Research integrity0.0010.001
Insufficient payload (model declined to judge)0.0020.000

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.011
GPT teacher head0.222
Teacher spread0.211 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it

Classification

machine, unvalidated

Machine predicted; a candidate call from one source (direct Gemma or distilled Codex), not a consensus.

The models applied no category: nothing in the taxonomy fit this work.
Study designSimulation or modeling
Domainnot available
GenreEmpirical

How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".

Quick stats

Citations2
Published2025
Admission routes1
Has abstractyes

Explore more

Same venueJournal of the Royal Statistical Society Series C (Applied Statistics)Same topicInsurance and Financial Risk ManagementFrench-language works237,207