X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.
The president and CEO of catastrophe-modeler Karen Clark & Co. explains why she’s convinced “Characteristic Event Analysis” offers a more effective method of cat-loss estimation and preparation than the insurance industry’s longtime focus on probable maximum losses.

In terms of what insurers need to be doing, what are the fundamental requirements for effective catastrophe-risk management?

After consulting with dozens of insurance and reinsurance companies over the past few years, we’ve found that insurers would very much like to have risk-management metrics with three fundamental qualities: consistency, transparency and operational ability. In order to effectively manage catastrophe risk, insurers need to fully understand the risk and how it’s being measured for their specific books of business. Insurers would also like a tool that enables them to monitor the effectiveness of their risk-management strategies over time.

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.

INCLUDED IN A DIGITAL MEMBERSHIP:

  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

Already have an account?

Dig Deeper

PropertyCasualty360

Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now!

  • Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.