2.4.3.
Dynamic Reinsurance Program
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A dynamic reinsurance program enables the user to specify the number and order of contracts with the parameterization.
- In order to add an additional contract to the reinsurance program right click on reinsurance program and select 'Add'.
- To remove a contract, right click on it and select 'Remove'.
- Each reinsurance contract is a template for any of the available contracts available. The 'strategy' can be selected in the parameterization setting different contract types.
- The order of the contracts is defined with the parameter inuring priority.
- The contract with the smallest inuring priority will be the first executed. If several contracts have the same inuring priority they will be applied on the same 'gross' claims and underwriting figures.
- If a program has several excess of loss (XL) layers, add as many contracts as layers are required and set the inuring priority to an equal number.
- In order to keep a program flexible for extensions it makes sense to use i.e. 10, 20, 30 as priorities. These gaps allow to easily insert further contracts between already existing contracts.
If a model shouldn't allow a user to edit the number and order of contracts there are also programs with a fixed number and order available.
