chainladder-python
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DevelopmentConstant() Truncates LDFs in the Tail
If the a DevelopmentConstant()
takes in ldfs, and the triangle applied is smaller (or shorter in length) than the constant, the rest of the constant is discarded.
Sample code:
paid_patterns = {12: 1.489, 24: 1.306, 36: 1.187, 48: 1.009, 60: 1.067, 72: 1.046}
paid_pattern = cl.DevelopmentConstant(patterns=paid_patterns, style="ldf")
raa = cl.load_sample("raa")
raa_small = raa[raa.valuation.year <= 1986]
cl.DevelopmentConstant(patterns=paid_patterns, style="ldf").fit_transform(
raa_small
).ldf_
A better solution is convert all factors to CDFs first inside DevelopmentConstant()
, then apply what is needed to the triangle object.