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Practical Ratemaking
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Records with average_insured_amount == 0 #89

Closed kevinykuo closed 5 years ago

kevinykuo commented 5 years ago

Not sure what to make of these and some of them have positive claim amounts.

Possibly related to #81.

kevinykuo commented 5 years ago

image

modeling_data2 %>%
  mutate(
    aoi = case_when(
      average_insured_amount == 0 ~ "0",
      average_insured_amount < 25000 ~ "<25000",
      average_insured_amount < 50000 ~ "< 50000",
      TRUE ~ ">=50000"
    )
  ) %>%
  group_by(aoi) %>%
  count()

# A tibble: 4 x 2
# Groups:   aoi [4]
  aoi          n
  <chr>    <int>
1 < 50000 758727
2 <25000  548242
3 >=50000 399239
4 0        35936

Leaning towards dropping these and documenting given the prevalence.