SlicedLNormParetoCappedMean: Sliced LogNormal Pareto capped mean

In NetSimR: Actuarial Functions for Non-Life Insurance Modelling

Sliced LogNormal Pareto capped mean

Description

Gives the expected claim amount when each claim from a sliced severity distribution, with LogNormal attritional claims below the slice point and a Pareto tail above it, is capped at cap.

Usage

SlicedLNormParetoCappedMean(cap, mu, sigma, SlicePoint, shape)

Arguments

cap	A non-negative real number - the claim severity cap.
mu	A real number - the first parameter of the attritional Claim Severity's LogNormal distribution.
sigma	A positive real number - the second parameter of the attritional Claim Severity's LogNormal distribution.
SlicePoint	A positive real number - the slice point and the scale parameter of the tail Claim Severity's Pareto distribution. An infinite slice point gives the LogNormal distribution.
shape	A positive real number - the shape parameter of the tail Claim Severity's Pareto distribution.

Details

shape is the Pareto shape parameter, usually written alpha; the sliced Gamma-Pareto functions call the same parameter PShape.

Value

The mean of the claim severity capped at cap with an attritional claim LogNormal distribution with parameters mu and sigma and a large claim Pareto distribution with parameters SlicePoint and shape. A non-numeric argument, a negative cap or a non-positive sigma, SlicePoint or shape is an error; NA values give NA.

See Also

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

Examples

SlicedLNormParetoCappedMean(1200,6,1.5,1000,1.2)
SlicedLNormParetoCappedMean(2500,6.5,1.4,2000,1.6)
SlicedLNormParetoCappedMean(4000,7,1.6,3000,1.4)

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