Research On Premium Rate Making Of Vehicle Networking Insurance Based On Generalized Linear Model

At present,insurance companies mainly determine the premium rate making of traditional vehicle insurance according to the owners' own properties and motor vehicles' inherent attributes.However,due to the immobile and fixed characteristics of these information,it is difficult to achieve the differentiation and fairness of the pricing of traditional vehicle insurance.Combining with the current development of China's vehicle network technology,aiming at the pricing drawbacks that exists in the domestic vehicle insurance market about the traditional vehicle insurance products and basing on the data of vehicle network to study the rate detennination of vehicle networking insurance,we found that vigorously promoting the implement of the vehicle networking insurance project has become an important task of the current property insurance companies.This paper adopts the method of modeling claim severity and claim frequency separately based on the theory of generalized linear model to achieve the empirical research on the determination of premium rate of vehicle networking insurance,and the writer innovatively tests the driving behavior and mileage data,so as to make the empirical results of determination of premium rate of vehicle networking insurance more real and effective.In the specific process of empirical analysis,the writer divided the explanatory variables into two sets of variables,which separately represents the rate factors considered in the pricing of traditional vehicle insurance and the pricing of networking vehicle insurance products.Through empirical analysis,the advantages are quantified that the pricing of networking vehicle insurance is more equitable than traditional vehicle insurance.That is to say,the model of premium rate determination with variables of driving behavior is proved to be effective.It can better improve the forecast effect of pure premium,and provide strong support about setting premium rate for the implement of vehicle networking insurance products.As for the vehicle networking insurance project in China,on the one hand,it depends on the actuarial basis for setting the premium rate of insurance products,on the other hand,it relies on the development the vehicle networking system.This paper introduces the technology and hardware foundation of the three layers of"tube-end-cloud" in China's vehicle networking system in detail.The advent of 5G era has contributed to the development of vehicle networking insurance.At the same time,the advantages and disadvantages of vehicle networking data acquisition terminal,front-loading equipment and rear-loading equipment are compared.It is proposed that China should increase investment in research and development of vehicle networking data acquisition terminal,so as to achieve a certain degree of matching between hardware and communication technology.Based on the generalized linear model about the premium rate,the pricing of vehicle insurance can be fairly determined,which can effectively regulate the driving behaviors and habits of drivers.The implement of vehicle insurance project makes it easier for insurance companies to obtain drivers' information about driving behaviors,so that insurance companies can select better customers in the vehicle insurance links to increase the profitability.