Hello everyone. I would like to read some thoughts about the following:

When calculating Unexpired Risk Reserves (URR) as of 12/31/XX,
I always calculated combined ratio on a complete year basis (January to December) and then applied to the Unearned Premium Reserves (UPR) as of 12/31/XX.

For intermediate periods (for example 06/30/XX), I considered one year as well for computing combined:
Premiums, expenses, losses, etc. [07/01/XX(-1) - 06/30/XX]

Now a client is proposing me to consider, for 06/30/XX, six months;
Premiums, expenses, losses, etc. [01/01/XX - 06/30/XX]

Would you agree with that, knowing that maybe some UPR is reserved for policies written before January first? Is there some ASOP that deals with that? Some pre defined methodology that says how long the period should be for the combined?

Wait for your thoughts
Thanks in advance !!!
hapc