Proceedings of the 12th International Conference on Business and Management Research (ICBMR 2018)

Zero-Inflated Poisson Regression Analysis On Frequency Of Health Insurance Claim PT. XYZ

Authors
Rahmaniar Dwinta Kusuma, Yogo Purwono
Corresponding Author
Rahmaniar Dwinta Kusuma
Available Online March 2019.
DOI
10.2991/icbmr-18.2019.52How to use a DOI?
Keywords
overdispersion, zero-Inflated Poisson regression, Vuong’s Test
Abstract

Modeling data count is an important thing in various fields. For this purpose, Poisson regression models are often used. However, in this model there is an assumption of equidispersion data where the mean value equals the value of the variance. In fact, this assumption is often violated in the observed data. In real data, the value of variance actually exceeds the mean (overly dispersed) value with the cause of the overdispersion depending on many situations. When the overdispersion source is exceeds zero (excess zero), then a more suitable model to use is the Zero-inflated Poisson regression model. In this paper, after the framework of Poisson regression and the Zero-inflated Poisson regression is reviewed then the model is adjusted to the claim frequency data in a private health insurance scheme where the frequency of claims is overly dispersed because of the number of zeros in the data set. Then Vuong's test is done to compare the two models and obtain the result that the Zero-inflated Poisson regression is more suitable for modeling the frequency data of PT.XYZ Health Insurance claims

Copyright
© 2019, the Authors. Published by Atlantis Press.
Open Access
This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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Volume Title
Proceedings of the 12th International Conference on Business and Management Research (ICBMR 2018)
Series
Advances in Economics, Business and Management Research
Publication Date
March 2019
ISBN
10.2991/icbmr-18.2019.52
ISSN
2352-5428
DOI
10.2991/icbmr-18.2019.52How to use a DOI?
Copyright
© 2019, the Authors. Published by Atlantis Press.
Open Access
This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

Cite this article

TY  - CONF
AU  - Rahmaniar Dwinta Kusuma
AU  - Yogo Purwono
PY  - 2019/03
DA  - 2019/03
TI  - Zero-Inflated Poisson Regression Analysis On Frequency Of Health Insurance Claim PT. XYZ
BT  - Proceedings of the 12th International Conference on Business and Management Research (ICBMR 2018)
PB  - Atlantis Press
SP  - 321
EP  - 325
SN  - 2352-5428
UR  - https://doi.org/10.2991/icbmr-18.2019.52
DO  - 10.2991/icbmr-18.2019.52
ID  - Kusuma2019/03
ER  -