Fall 2016 Q21
For this solution is it based on the old version of BCAR?
Isn't the risk categories in BCAR the following:
F Fixed Income Security
E Equity Security
I Interest
C Credit
R Reserve
P Premium
B Business Risk
C Catastrophe?
Comments
Probably but its pretty obvious what each of them map to. UW risk = premium risk, investment risk = fixed income security and equity security
So should I try to deliberately use categories that's clearly different?
Like if I used Reserve category and Premium category, they are both U/W.
Do I need to deliberately avoid using similar categories?
Well no, you should be fine as long as you follow the latest BCAR categories, so stating premium and reserve category is okay. You should not be referring to this specific past solution anymore as it is outdated