ParetoCappedMeanCalc: Pareto capped mean intermediary calculation

In NetSimR: Actuarial Functions for Non-Life Insurance Modelling

Pareto capped mean intermediary calculation

Description

Evaluates the closed-form expression (shape * scale - cap * (scale / cap)^shape) / (shape - 1) that the Pareto capped mean is built on, for checking or reusing the intermediate step.

Usage

ParetoCappedMeanCalc(cap, scale, shape)

Arguments

cap	A non-negative real number - the claim severity cap.
scale	A positive real number - the scale parameter of the Claim Severity's Pareto distribution.
shape	A positive real number - the shape parameter of the Claim Severity's Pareto distribution.

Value

An interim calculation for the mean of the claim severity capped at cap with a Pareto distribution with parameters scale and shape. It is the closed form for cap >= scale and shape != 1; use ParetoCappedMean for the capped mean itself. The arguments are recycled to a common length.

See Also

Other capped mean functions: GammaCappedMean(), LNormCappedMean(), ParetoCappedMean(), SlicedGammaParetoCappedMean(), SlicedLNormParetoCappedMean()

Examples

ParetoCappedMeanCalc(800,100,1.1)
ParetoCappedMeanCalc(1000,500,0.9)

NetSimR documentation built on Sept. 30, 2026, 5:13 p.m.