**Problem 14-A**

You are given the following:

- The annual number of claims generated from a portfolio of insurance policies follows a Poisson distribution.
- The claim size follows a uniform distribution on where is unknown.
- The number of claims and the claim sizes are independent.

Using limited fluctuation credibility, how many expected claims are required to be 95% certain that actual claim costs will be within 5% of the expected claim costs?

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**Problem 14-B**

You are given the following:

- The annual number of claims generated from a portfolio of insurance policies follows a Poisson distribution.
- The claim size follows a distribution with the following moment generating function.
- The number of claims and the claim sizes are independent.

What is the least number of expected claims that are required to be 90% certain that actual claim costs will be within 5% of the expected claim costs?

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Tagged: Actuarial Exam, CAS Exam 4, CAS Exam 4 Practice Problem, Frequency, Frequency-Severity Model, Gamma Distribution, Limited Fluctuation Credibility, Loss Models, Moment Generating Function, Poisson Claim Frequency, Poisson Distribution, Poisson-Gamma Model, Probability, Pure Premium, Severity, SOA Exam C, SOA Exam C Practice Problem, Uniform Distribution

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