Reinsurance =========== The reinsurance calculations generates estimates of retention and cession under the different reinsurance treaties. The following output files are produced: 1. ``Reinsurance by event``: aggregated estimated per event for the claim, retention, cession and overspills under each reinsurance treaty. +----------+-----------+---------+----------+----------+---------+--------------------+------+ | event_id | retention | claim | treaty_1 | treaty_2 | xlr1 | overspill_treaty_2 | year | +==========+===========+=========+==========+==========+=========+====================+======+ | 0 | 738.429 | 1833.73 | 142.206 | 400.000 | 553.096 | 180.819 | 1 | +----------+-----------+---------+----------+----------+---------+--------------------+------+ | 1 | 319.755 | 701.219 | 51.7092 | 179.292 | 150.463 | 0.00000 | 1 | +----------+-----------+---------+----------+----------+---------+--------------------+------+ | 2 | 1226.97 | 3210.91 | 282.622 | 400.000 | 1301.32 | 474.357 | 1 | +----------+-----------+---------+----------+----------+---------+--------------------+------+ | 3 | 1318.88 | 3600.81 | 294.502 | 400.000 | 1587.42 | 629.187 | 1 | +----------+-----------+---------+----------+----------+---------+--------------------+------+ 2. ``Reinsurance curves``: reinsurance loss exceedance curves describe the probabilities of exceeding a set of loss ratios or loss values, within a given time span (or investigation interval). The curves are generated for the claim, retention, cession and overspills under each reinsurance treaty. +--------+---------------+-----------+---------+----------+----------+---------+--------------------+ | rlz_id | return_period | retention | claim | treaty_1 | treaty_2 | xlr1 | overspill_treaty_2 | +========+===============+===========+=========+==========+==========+=========+====================+ | 0 | 50.0000 | 319.755 | 701.219 | 51.7092 | 179.292 | 150.463 | 0.00000 | +--------+---------------+-----------+---------+----------+----------+---------+--------------------+ | 0 | 100.000 | 1226.97 | 3210.91 | 282.622 | 400.000 | 1301.32 | 474.357 | +--------+---------------+-----------+---------+----------+----------+---------+--------------------+ | 0 | 200.000 | 1318.88 | 3600.81 | 294.502 | 400.000 | 1587.42 | 629.187 | +--------+---------------+-----------+---------+----------+----------+---------+--------------------+ 3. ``Average reinsurance losses``: the average reinsurance losses indicates the expected value within the time period specified by risk_investigation_time for the claim, retention, and cessions under each reinsurance treaty for all policies in the Exposure Model. +--------+-------------+-------------+-------------+-------------+-------------+--------------------+ | rlz_id | retention | claim | treaty_1 | treaty_2 | xlr1 | overspill_treaty_2 | +========+=============+=============+=============+=============+=============+====================+ | 0 | 1.80202E+01 | 4.67333E+01 | 3.85520E+00 | 6.89646E+00 | 1.79615E+01 | 6.42181E+00 | +--------+-------------+-------------+-------------+-------------+-------------+--------------------+ 4. ``Aggregated reinsurance by policy``: the average reinsurance losses for each policy, by ignoring the overspill logic. +--------+-----------+-----------+---------+----------+----------+----------+ | rlz_id | policy_id | retention | claim | treaty_1 | treaty_2 | xlr1 | +========+===========+===========+=========+==========+==========+==========+ | 0 | p1_a1 | 4.61304 | 19.0934 | 1.90934 | 3.81867 | 8.75232 | +--------+-----------+-----------+---------+----------+----------+----------+ | 0 | p1_a2 | 3.01643 | 6.48621 | 1.94586 | 0.648621 | 0.875298 | +--------+-----------+-----------+---------+----------+----------+----------+ | 0 | p1_a3 | 38.9468 | 1.29823 | 0.00000 | 0.908759 | 0.00000 | +--------+-----------+-----------+---------+----------+----------+----------+ | 0 | p2 | 3.57945 | 19.8555 | 0.00000 | 7.94221 | 8.33388 | +--------+-----------+-----------+---------+----------+----------+----------+ The parameters indicated in the previous outputs include: - ``policy``: identifier of the unique policies indicated in the exposure model and policy files. - ``claim``: ground up losses minus the deductible and up to the policy liability. - ``retention``: net losses that the insurance company keeps for its own account. - ``cession_i``: net losses that are ceded by the insurance company to the reinsurer(s) under treaty i. The cession is indicated by the treaty name defined in the reinsurance information. - ``overspill_treaty_i``: net losses that exceed the maximum cession per event ("max_cession_event") for *proportional* and/or *catxl* treaties. *NOTE: The sum of the claim is not equal to the ground up losses, since usually the deductible is nonzero. Moreover there could be "non-insured" losses corresponding to policies with no insurance contracts or that exceed the policy liability.*