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female dogs have much lower claims than male dogs.

According to the new set of data recently received from three vets, female dogs have much lower claims than male dogs. Therefore, it is recommended to further analyze the gender factor with the experience data, and add it to the rating manual.
Geographic region
Rural dogs are in general healthier than urban dogs due to fresh airs and plenty of rooms to run. Moreover, comparing with those in rural, dog owners in urban areas are likely to have higher expectations to their pets’ health and more likely to go to the clinic when their pets get sick. Therefore, it is suggested to spend time and efforts to analyze the geographic factor, and perform sensitivity testing for the materiality.
Trend
Since Attaboy Basic has only been sold for one year, it is unable to develop reliable trend factor with the experience data. Although another set of 3-year survey data is available when derive the initial premium, comparing survey data with experience data is inappropriate. This is because trend factor should be estimated based on the same source of data, while survey data and actual experience data come from different population of dogs. Therefore, in order to update trend factor, Attaboy should ask the same vets who provided survey data, or consider using industry trend.

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