Looking at the increases from one year to the next, the expected losses increase by 10% each year but the expected claim payments increase by more than 10% annually. For example, expected losses grow from 750 in year 1 to 1098 in year 5, an increase of 46%. However, expected claim payments grow from 650 in year 1 to 998 in year 5, an increase of 54%. Similarly, the standard deviation of claim payments also increases by more than 10% annually. Both phenomena are caused by a deductible that does not increase with inflation.