Lecturers: Dr. P. Arbenz, Dr. P. Antal
This course provides an introduction to reinsurance from an actuarial perspective. The objective is to understand the fundamentals of risk transfer through reinsurance and the mathematical approaches associated with low frequency high severity events such as natural or man-made catastrophes.
Topics covered include:
Reinsurance Contracts and Markets: Different forms of reinsurance, their mathematical representation, history of reinsurance, and lines of business.
Experience Pricing: Modelling of low frequency high severity losses based on historical data, and analytical tools to describe and understand these models
Exposure Pricing: Loss modelling based on exposure or risk profile information, for both property and casualty risks
Natural Catastrophe Modelling: History, relevance, structure, and analytical tools used to model natural catastrophes in an insurance context
Solvency Regulation: Regulatory capital requirements in relation to risks, effects of reinsurance thereon, and differences between the Swiss Solvency Test and Solvency 2
Insurance linked securities: Alternative risk transfer techniques such as catastrophe bonds