Rinda Ariyanti, Andini Erika Firdausy, Affiati Oktaviarina
The hazards that humans take will not be tolerated. Losses may be material or non-material as a consequence of risks. Insurance is essential for risk mitigation. Insurance is a contractual agreement between the insurer and the insured. Insurance claims necessitate claims reserves. Insurance companies are required to establish claim reserves in order to satisfy outstanding claim payments. Outstanding claims are those that are currently in the payment procedure. IBNR and RBNS are the two categories into which outstanding claims are divided. IBNR is a claim reserve that has occurred but has not been reported, and it encompasses the claim reserve settlement process. An estimate of claims reserves is necessary, as companies are unable to determine the full extent of losses incurred as a result of delays in reporting claims. Companies are highly concerned with the precision of their claims reserve estimates in anticipation of future customer insurance claims. Many methodologies have been developed to conduct claims reserve analyses. The Chain Ladder approach is frequently implemented. Using the Chain Ladder technique is exceedingly straightforward. The accuracy level of the Mean Absolute Percentage Error (MAPE) will be used to determine the most effective method. The estimated IBNR claim reserves were determined to be the lesser MAPE value using the Munich Chain Ladder method, as indicated by the research results. © 2025 Author(s).
Mathematics Study Program, Mathematics and Natural Science Faculty, Universitas Negeri Surabaya, Surabaya, Indonesia; Actuarial Science Study Program, Mathematics and Natural Science Faculty, Universitas Negeri Surabaya, Indonesia
