Reinsurance optimisation
Complex risk and treaty structures as well as fierce competition in the reinsurance market are a significant factor influencing the business results of any primary insurer. The compilation and parameterisation of a suitable reinsurance portfolio are high-dimensional mathematical problems whose possible solutions depend on a large number of factors. We offer you a solution ranging from data analysis, adjustment of stochastic distributions for loss frequency and loss amounts for all your lines of business, simulation of various scenarios, mapping of various reinsurance programmes and the determination of pricing-relevant key figures and performance indicators.
Data preparation and model fitting
All of your reinsurance-relevant lines of business are analysed and stochastic models are adapted and validated. In most cases, these will be distribution models for loss frequency and severity to models for stochastic processes and the like.
Monte Carlo for the complex reinsurance program with ari|RE
The arithmetica reinsurance platform ari|RE allows common reinsurance programmes (quota, stop-loss and XL treaties) for multiple lines of business (and levels below) to be mapped via a multi-layer structures. Parallel and serial structures are solved by calculation cycles running behind or next to each other. This structure enables the simulation of the gross and reinsurance result after premiums, claims, costs and commissions, including a complete profit and loss account, over several years using the Monte Carlo method.