4. (10 points) You are given the following regarding coverage for automobile crash losses: (i) Claim counts are expected to follow a Poisson distribution with ? = 0.10.

(ii) Claim sizes are expected to follow a Pareto distribution with ? = 2.5 and ? = 4,500 (iii) We have observed three years of experience from a particular insured:

Using limited fluctuation credibility, with the full credibility standard to be within 5% of the true frequency 90% of the time and the normal approximation, find the credibility frequency estimate for this insured for the fourth year.

4. [10 points} You are given the following regarding coverage for automobile crash losses: {i} Claim counts are expected to follow a Poisson distribution with it = 0.10. {iii Claim sizes are expected to follow a Pareto distribution with o = 2.5 and B = 4,500 {iii} We have observed three years of experience from a particular insured: Year 1 Yea r 2 Vehicles 1,000 2,000 __\"I \"m Using limited fluctuation credibility, with the full credibility standard to be within 5% of the true frequency 90% ofthe time and the normal approximation, nd the credibility frequency estimate for this insured for the fourth year