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List_of_stylized_facts

x0range edited this page Aug 24, 2018 · 3 revisions
  • 60% reinsurance coverage
  • close to 100% insurance coverage
  • reinsurance defaults happening
  • balanced insurers
  • balanced reinsurers
  • premium oscillating according to a smooth cycle
  • premium should not end up at the lower bound - in no world of the ensemble
  • more insurers than reinsurers by a factor of 8 to 10, possibly with some variability
  • catbonds should cover a certain part of the reinsurance market (20-25 catbonds vs 75-80 reinsurance - which measure, value?, risk?, coverage capital? - look it up in the catbonds document)
  • heavy-tailed positive firm size distribution (hence left-skewed) for insurance firms
  • heavy-tailed positive firm size distribution (hence left-skewed) for reinsurance firms
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