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12-17-2016 05:23 PM

Hi,

I am using Genmode procedure with Negative binomial model to model total claims for a motor insurance data.

below is the code:

**proc genmod data=libish.simulatedwithlog;**

**class premiumclass age zone;**

**model no= zone freq /dist=negbin offset=logduration type3;**

**output out=libish.dataset2 predicted=nbclaimestimate;**

**run;**

**the Output statement here creating a new variable called nbclaimestimate , Is this estimated No. of claims calculated by model? I want to calculate total number of estimated claims , can i use these estimated values to show my result**

**or i need to calculate this manually by using intercept and covariates exponential like:**

** exp(Intercept) * exp(Zone) * exp(freq).........**

** **

**i have one more doubt: i have some example using exp(Intercept) * exp(Zone) +exp(freq)**

**what criteria decides additive effects or multiplicative effect? sorry i am a learner and new in this field , please help a bit to understand this.**

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Posted in reply to ishakamboj1230

12-17-2016 12:42 PM

Hi,

I am using Genmode procedure with Negative binomial model to model total claims for a motor insurance data.

below is the code:

**proc genmod data=libish.simulatedwithlog;**

**class premiumclass age zone;**

**model no= zone freq /dist=negbin offset=logduration type3;**

**output out=libish.dataset2 predicted=nbclaimestimate;**

**run;**

**the Output statement here creating a new variable called nbclaimestimate , Is this estimated No. of claims calculated by model? I want to calculate total number of estimated claims , can i use these estimated values to show my result**

**or i need to calculate this manually by using intercept and covariates exponential like:**

** exp(Intercept) * exp(Zone) * exp(freq).........**

** **

**i have one more doubt: i have some example using exp(Intercept) * exp(Zone) +exp(freq)**

**what criteria decides additive effects or multiplicative effect? sorry i am a learner and new in this field , please help a bit to understand this.**

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Posted in reply to ishakamboj1230

12-17-2016 02:12 PM

Hi,

Youve posted your question in the SAS Visual Analytics community. You will probably get a response your if you move the question (or recreate it) in the SAS Statistical Procedures community https://communities.sas.com/t5/SAS-Statistical-Procedures/bd-p/statistical_procedures

Kind Regards,

Michelle

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Posted in reply to ishakamboj1230

12-17-2016 05:46 PM

proc genmod data=libish.simulatedwithlog;

class premiumclass age zone;

model no= zone freq /dist=negbin offset=logduration type3;

output out=libish.dataset2 predicted=nbclaimestimate;

run;

the Output statement here creating a new variable called nbclaimestimate , Is this estimated No. of claims calculated by model? I want to calculate total number of estimated claims , can i use these estimated values to show my result

Yes, nbclaimEstimate is the predicted value of the number of claims.

You can use these estimated values, as long as you're confident in your model.

If you're unsure of your analysis method, your best bet is to review the statistical methodologies behind the model. Why did you pick Genmod in the first place? How did you decide on the dis/offset?

That will help you interpret your results and understand why the model is the way it is in terms of components.

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Posted in reply to Reeza

01-03-2017 08:53 AM

Thanks Reeza

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Posted in reply to ishakamboj1230

12-17-2016 09:09 PM

This could give you a better explain . http://support.sas.com/kb/24/188.html