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This paper proposes a flexible and analytically tractable class of frequency and severity models for predicting insurance claims. The proposed model is able to capture nonlinear relationships in explanatory variables by characterizing the…

Econometrics · Economics 2025-04-01 Dong-Young Lim

We consider Markov chain Monte Carlo (MCMC) algorithms for Bayesian high-dimensional regression with continuous shrinkage priors. A common challenge with these algorithms is the choice of the number of iterations to perform. This is…

Methodology · Statistics 2021-07-13 Niloy Biswas , Anirban Bhattacharya , Pierre E. Jacob , James E. Johndrow

Modeling uncertainty in heavy-tailed time series remains a critical challenge for deep probabilistic forecasting models, which often struggle to capture abrupt, extreme events. While L\'evy stable distributions offer a natural framework for…

Machine Learning · Computer Science 2026-05-15 Yang Yang , Du Yin , Hao Xue , Flora Salim

In longitudinal studies, repeated measures are collected over time and hence they tend to be serially correlated. In this paper we consider an extension of skew-normal/independent linear mixed models introduced by Lachos et al. (2010),…

Methodology · Statistics 2021-01-19 Fernanda L. Schumacher , Victor H. Lachos , Larissa A. Matos

Bayesian shrinkage methods have generated a lot of recent interest as tools for high-dimensional regression and model selection. These methods naturally facilitate tractable uncertainty quantification and incorporation of prior information.…

Computation · Statistics 2017-04-17 Bala Rajaratnam , Doug Sparks , Kshitij Khare , Liyuan Zhang

We consider the task of assessing the righthand tail of an insurer's loss distribution for some specified period, such as a year. We present and analyse six different approaches: four upper bounds, and two approximations. We examine these…

Applications · Statistics 2015-07-08 Isabella Gollini , Jonathan Rougier

Latent position network models are a versatile tool in network science; applications include clustering entities, controlling for causal confounders, and defining priors over unobserved graphs. Estimating each node's latent position is…

Computation · Statistics 2021-11-05 Neil A. Spencer , Brian Junker , Tracy M. Sweet

In the property and casualty (P&C) insurance industry, reserves comprise most of a company's liabilities. These reserves are the best estimates made by actuaries for future unpaid claims. Notably, reserves for different lines of business…

Applications · Statistics 2025-04-14 Pengfei Cai , Anas Abdallah , Pratheepa Jeganathan

We propose a transformation capable of altering the tail properties of a distribution, motivated by extreme value theory, which can be used as a layer in a normalizing flow to approximate multivariate heavy tailed distributions. We apply…

Machine Learning · Statistics 2023-11-02 Tennessee Hickling , Dennis Prangle

The Bayesian lasso is well-known as a Bayesian alternative for Lasso. Although the advantage of the Bayesian lasso is capable of full probabilistic uncertain quantification for parameters, the corresponding posterior distribution can be…

Methodology · Statistics 2022-07-06 Jun Kawakami , Shintaro Hashimoto

Powerful ideas recently appeared in the literature are adjusted and combined to design improved samplers for Bayesian exponential random graph models. Different forms of adaptive Metropolis-Hastings proposals (vertical, horizontal and…

Computation · Statistics 2014-09-18 Alberto Caimo , Antonietta Mira

Bayesian hierarchical modeling is a popular approach to capturing unobserved heterogeneity across individual units. However, standard estimation methods such as Markov chain Monte Carlo (MCMC) can be impracticable for modeling outcomes from…

Methodology · Statistics 2014-11-04 Michael Braun , Paul Damien

We deal with Bayesian inference for Beta autoregressive processes. We restrict our attention to the class of conditionally linear processes. These processes are particularly suitable for forecasting purposes, but are difficult to estimate…

Statistics Theory · Mathematics 2010-08-03 R. Casarin , L. Dalla Valle , F. Leisen

We consider the problem of scalable sampling algorithms to fit Bayesian generalized linear mixed models on large datasets. Stochastic gradient Langevin dynamics, coupled with smooth re-parameterizations of variance parameters, produces…

Methodology · Statistics 2026-04-30 Youngsoo Baek , Samuel I. Berchuck

I report a new statistical distribution formulated to confront the infamous, long-standing, computational/modeling challenge presented by highly skewed and/or leptokurtic ("fat- or heavy-tailed") data. The distribution is straightforward,…

Statistical Finance · Quantitative Finance 2011-11-01 Lawrence R. Thorne

We consider the problem of inference for non-stationary time series with heavy-tailed error distribution. Under a time-varying linear process framework we show that there exists a suitable local approximation by a stationary process with…

Statistics Theory · Mathematics 2024-07-09 Fumiya Akashi , Konstantinos Fokianos , Junichi Hirukawa

Disability insurance claims are often affected by lengthy reporting delays and adjudication processes. The classic multistate life insurance modeling framework is ill-suited to handle such information delays since the cash flow and…

Applications · Statistics 2025-01-22 Oliver Lunding Sandqvist

Linear regression is ubiquitous in statistical analysis. It is well understood that conflicting sources of information may contaminate the inference when the classical normality of errors is assumed. The contamination caused by the light…

Methodology · Statistics 2019-06-13 Philippe Gagnon , Alain Desgagné , Mylène Bédard

We consider a class of queries called durability prediction queries that arise commonly in predictive analytics, where we use a given predictive model to answer questions about possible futures to inform our decisions. Examples of…

Databases · Computer Science 2021-04-02 Junyang Gao , Yifan Xu , Pankaj K. Agarwal , Jun Yang

Score-based generative models (SGMs) have achieved remarkable empirical success, motivating their application to a broad range of data distributions. However, extending them to heavy-tailed targets remains a largely open problem. Although…

Machine Learning · Statistics 2026-05-15 Tiziano Fassina , Gabriel Cardoso , Sylvan Le Corff , Thomas Romary