Plot method for a MackChainLadder object

plot.MackChainLadder, a method to plot the output of MackChainLadder. It is designed to give a quick overview of a MackChainLadder object and to check Mack's model assumptions.

Usage

# S3 method for class 'MackChainLadder'
plot(x, mfrow=NULL, title=NULL, 
lattice=FALSE, which=1:6, ...)

Arguments

x

output from MackChainLadder

mfrow

see par

title

see title

lattice

logical. Default is set to FALSE and plots as described in the details section are produced. If lattice=TRUE, the function xyplot of the lattice package is used to plot developments by origin period in different panels, plus Mack's S.E.

which

if a subset of the plots is required, specify a subset of the numbers 1:6.

...

optional arguments. See plot.default for more details.

Details

plot.MackChainLadder shows six graphs, starting from the top left with a stacked bar-chart of the latest claims position plus IBNR and Mack's standard error by origin period; next right to it is a plot of the forecasted development patterns for all origin periods (numbered, starting with 1 for the oldest origin period), and 4 residual plots. The residual plots show the standardised residuals against fitted values, origin period, calendar period and development period. All residual plot should show no patterns or directions for Mack's method to be applicable. Pattern in any direction can be the result of trends and should be further investigated, see Barnett and Zehnwirth. Best estimates for reserves. Proceedings of the CAS, LXXXVI I(167), November 2000. for more details on trends.

Author

Markus Gesmann

See also

See Also MackChainLadder, residuals.MackChainLadder

Examples

plot(MackChainLadder(RAA))