In: Statistics and Probability
You are given:
(iv) The claim frequency for a single insured follows a Poisson
distribution with mean ?.
(v) The claim frequency rate, ?, has a gamma distribution with mean
1/10
and variance 4/10000
.
(vi) During the last 3 years, 150 claims have occurred.
(vii) In each of the three years, 200 policies were in force.
Determine the Bayesian estimate of the posterior claim frequency
rate based upon the latest
observation.