Catastrophe models greatly assist commercial insurance actuaries in establishing underwriting and pricing guidelines for terrorist attacks, a modeling firm executive told a recent industry conference.
The comments by David Lalonde, senior vice president at Boston-based AIR Worldwide Corporation, were reported by the Casualty Actuarial Society.
Mr. Lalonde, speaking last month at the CAS ratemaking seminar in Atlanta, said because terrorism events are among the more extreme events in an insurer's portfolio that contribute to the company's risk profile, understanding that risk can help in setting up underwriting guidelines that will avoid overaccumulations of exposure.
Recommended For You
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more inforrmation visit Asset & Logo Licensing.
