Alternative Risk Strategies: A New Approach to Handling Risk - Softcover

Morton, Lane

Softcover

ISBN 10: 1899332634 ISBN 13: 9781899332632

Verlag: Risk Books, 2002

Inhaltsangabe

A groundbreaking volume that fully exposes the relatively new area of risk financing from traditional methods of insurance and provides ysis of the intersection of insurance and finance. Provides an innovative and detailed insight on a variety of issues to include an overview of the reinsurance industry, contingent financing, terrorism risk, captives, finite risk, loss portfolio transfers, catastrophe risk, modelling issues and risk swaps. Multi-author contributions from leading industry experts of the effects of September 11th on the insurance and reinsurance markets. Chronicles the market changes from traditional methods of insurance through industry developments, research and current practice.

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Críticas

Reviewed by James Brewer, Lloyds List In-depth look at alternative risk Michael Steel is used to dealing in massive insurance coverages, writes James Brewer. He worked on a 500m dollar nuclear placement in 1994 and the 2.3bn dollar limit loss portfolio-transfer-sale for CGNU at Lloyd's at the end of 2000. What the two deals had in common was that they were both done by means of alternative risk transfer. Now head of Benfield Remetrics at the Benfield group, Mr Steel is one of 55, yes 55, contributors to a weighty new book, Alternative Risk Strategies. This must be the most comprehensive book on the subject to date, which is reflected in the quality, quantity and depth of essays. One contains algebraic formulae reflecting a firm's financial claims and their seniority, another has equations on the "probability distortion" of catastrophe bonds. Elsewhere, there is discussion of taxation issues for captive insurers and of equity implications of terrorism for reinsurers and brokers. Little wonder nearly 700 pages are required to run the gamut from weather risk modelling to quantifying terrorism risk - Gordon Woo of Risk Management Solutions produces an "event tree" showing detection and thwarting of planned attacks to estimate the probability of a big insured loss. As editor, Morton Lane says in his introduction, despite the tremendous amount of creative and experimental energy expended on the subject in the past 10-15 years, much has only partially seen the public light of day. Important things are going on in the hinterland between finance and (re)insurance. Given his allegiance, Mr Steel unsurprisingly advocates simulation methods to allow insurers and reinsurers to model the assumption of risk, especially where complex contracts are written. An insurance company has to protect itself especially against the financial impact of large events such as a Florida hurricane or a California earthquake. Modelling techniques are of great benefit to underwrite products of standard format, but an absolute necessity for bespoke solutions that cater for specific clients. A closely studied section will be that written by Nigel Davies of the Financial Services Authority. He says the uncertainties associated with alternative risk transfer have driven much of the business into jurisdictions with permissive, unobtrusive regulation. "Yet regulation per se is not one of the major costs," he says. "A more important driver is the mitigation of tax liability". He says regulators and lawmakers would appreciate an open, candid dialogue with market participants, through market associations if necessary, so that a balance of interests is fairly struck.

Reseña del editor

This volume exposes the relatively new area of risk financing from traditional methods of insurance and provides analysis of the intersection of insurance and finance. It provides a detailed insight on a variety of issues to include an overview of the reinsurance industry, contingent financing, terrorism risk, captives, finite risk, loss portfolio transfers, catastrophe risk, modelling issues and risk swaps. The work features multi-author contributions from leading industry experts of the effects of September 11th on the insurance and reinsurance markets and chronicles the market changes from traditional methods of insurance through industry developments, research and current practice.

Details zur Ausgabe

• Verlag: Risk Books
• Erscheinungsdatum: 2002
• Sprache: Englisch
• ISBN 10: 1899332634
• ISBN 13: 9781899332632
• Einband: Tapa blanda
• Anzahl der Seiten: 730
• Kontakt zum Hersteller: Nicht verfügbar
• Verantwortliche Person: Nicht verfügbar