Credibility Theory Practices Report

Research Projects – Life Insurance


The Financial Reporting and the Product Development Sections as well as the Committee on Life Insurance Research, are pleased to make the following report available. Authored by a MIB Solutions team of Tom Rhodes, Stuart Klugman, Marianne Purushotham and Stacy Gill, the report summarizes the results of a study on the application and adoption of credibility theory within the life insurance and annuity industry. In addition to the report, numerical examples related to the application of credibility to company mortality and lapse data are provided in the four Excel files.

The sponsors would like to thank the following individuals who served on the Project Oversight Group:

  • Jim Berger
  • Rod L. Bubke
  • Matthew Clark
  • Steven C. Ekblad
  • Yu Luo
  • Jan Schuh
  • Ali A. Zaker-Shahrak
  • Ronora Stryker