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Annual claim counts follow a negative binomial distribution with r = 2, [3 = 5. Ground-up claim sizes follow a two-parameter Pareto distribution with a
Annual claim counts follow a negative binomial distribution with r = 2, [3 = 5. Ground-up claim sizes follow a two-parameter Pareto distribution with a = 3 and 9 = 1600. An insurance coverage with an ordinary deductible has a Loss Elimination Ratio of 0.36. Calculate the expected annual number of paid claims
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