The Ins and Outs of Risk-Model Data
Historical loss data
Evaluating an employer’s potential to be directly exposed to COVID-19:
1. Do we have employees located in or traveling to areas where there have been high rates of documented and diagnosed cases of COVID-19?
Inputs:
When should I start preparing for our D&O renewal?
Risk exposures
Risk probabilities
Insurance coverage and premiums
External environment conditions
Total cost of risk = estimate of retained losses + premiums
Catastrophic total cost of risk = potential cost of catastrophic risk
Outputs:
Historical loss data
Risk exposures
Risk probabilities
Insurance coverage and premiums
External environment conditions
Inputs:
Total cost of risk =
estimate of retained losses +premiums