GH 101: A renewal blend needs a comparable manual and experience basis
Group experience and a manual rate must describe comparable benefits, exposure and future periods before a credibility blend is meaningful. The weight does not repair incompatible inputs.
Original practice scenario
Blend illustrative experience cost 80 and manual cost 60 with weight .25 to obtain 65. Then introduce a benefit reduction affecting only the experience basis. Explain which adjustment is needed before repeating the blend, and distinguish claims cost from the final charged premium.
Study check
Write the assumptions, the decision being supported and one limitation. Use the current course syllabus for the required terminology and scope; this introductory guide is not a complete course summary.
Reading sources
ActNet editorial guide · October 1, 2026 · Original illustrative examples.
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