Specifying Exposed Limits

This option enables you to calculate property exposed limits deterministically based on different financial perspectives. In addition to accumulating the exposures based on replacement values, you can take into consideration the financial terms included with the property exposure data, enabling you to see the limits to which your organization is exposed, net of insurance and/or reinsurance terms.

To accumulate values based on financial terms in your property exposure data:

1.     In the Values to Analyze area, select the Exposed Limits check box. The Exposed Limits pane opens.

2.     In the Financial Term-based Values to Accumulate area, select the values that you want to accumulate.

•       Exposed Ground Up: Value of the property exposures before financial terms are applied. This is equal to the total replacement value (TRV) multiplied by the damage ratio (percent).

•       Exposed Gross: Value of the property exposures after financial terms, such as deductibles, are applied.

•       Exposed Net of Pre-CAT: Value of the property exposures after financial terms, facultative reinsurance, and all risk-based reinsurance treaties are applied.

•       Exposed Post-CAT Net: Value of the property exposures after all insurance and reinsurance treaties, including CAT Excess of Loss (XOL) treaties, are applied.