How do I perform model-fit analysis in order to assure that my projection results are accurately reflecting my actual experience?
Doing model fit analysis is a simple, clear-cut process in MG-ALFA. The analysis is done using the cell-inventory report functionality. To do the analysis simply execute the following set of steps: • Add new input variables to contain the “actual” numbers to which you are trying to fit the model. Reserve in-force, premium in-force and insurance in-force are example of “actual” numbers for the model fit. Link these new input variables to the Ail file. • Set up a cell-inventory report that contains the input items, and the corresponding modeled items. • Run the run request in the Ain file with the cell-inventory report selected. This step will build the Amg and Am1 file for use in the model generator. • Use the resulting Amg file to create an Am2 file to do model fit reports on the captured variables.
