Home
Reference
Aggregate excess of loss
>A reinsurance program (AOL) where the reinsurer indemnifies the ceding company for that portion of the loss that exceeds the limit of its own retention for a given year.

Introduction
Companies
Company data (exposures)
Programs
Portfolios
Import
Export
Loss results
Analysis
Tools
Administration console
The Administration Console enables authorized users to manage a suite of administrative tasks.
Reference
- Abbreviations
  Some abbreviations used in Touchstone Re.
- Activity status
  Status of the loss analysis which displays in the Activity Monitor:
- Adjustment factors
  An adjustment factor allows you to customize the data in your analysis by compensating for variations in company, program, and exposure data.
- Advanced Loss Modification (ALM)
  This feature allows clients to customize and adjust various parameters in catastrophe risk analysis.
- Aggregate excess of loss
  >A reinsurance program (AOL) where the reinsurer indemnifies the ceding company for that portion of the loss that exceeds the limit of its own retention for a given year.
- Aggregate exposure
  Aggregate exposure is the sum of exposures by group.
- Aggregate limit
  The maximum loss that can be incurred by the layer across all occurrences within each year.
- Aggregate loss
  Aggregate loss is the loss resulting from all events that occurred during a specified period.
- Aggregate Model Builder
  Aggregate Model Builder gives licensed users the flexibility to create their own custom models, and seamlessly integrate non-Verisk models into Touchstone Re.
- Aggregate retention
  The value below which the year's total occurrence losses (otherwise recoverable) are not assumed by the layer.
- ALERT data
  ALERT data is supplied by Verisk's ALERT™ (Verisk Loss Estimates in Real Time) online service which provides up-to-date information and loss estimates for major natural catastrophes worldwide.
- ALF
  The Aggregated Loss File (ALF) is a binary file that contains event-level loss data consolidated by country.
- A.M. Best premium database
  The A.M. Best premium database contains information that you can use to derive and calculate market shares.
- Analyze Re
  Analyze Re is part of the Verisk family.
- Annual aggregate limit
  The annual aggregate limit specifies the maximum loss that a layer can incur for all occurrences within a 12-month period.
- Annual aggregate loss
  The annual aggregate loss is the loss resulting from all events that occurred during a 12-month period.
- Annual aggregate loss distribution
  Aggregate loss distributed over a 12-month period.
- Annual aggregate retention
  The annual aggregate retention is a value below which the total losses for a 12-month period are not assumed by the layer.
- Annual occurrence loss
  The annual occurrence loss is the largest loss resulting from all events that occurred during a 12-month period.
- Annual occurrence loss distribution
  Occurrence loss distributed over a 12-month period.
- Applies to areas
  Applies to areas is a parameter used by the application to filter by geography.
- Applies to events
  Applies to events is a parameter used by the application to filter events.
- Area
  An area is a geographic location. Areas are at a higher geographic resolution than subareas.
- Assessment
  An assessment is a fee imposed on members of an insurance association for certain qualifying events.
- Average annual loss
  Average Annual Loss (AAL) is the average loss across all simulated years in a loss analysis.
- Base maps
  Base maps are used in the application to provide a geographic setting for your exposure data.
- Binary
  A binary file contains information that is only readable to a computer.
- Bulk copy paste operations
  Use Select All, Copy, and Paste functions to copy many items in a grid and then paste them in an application, such as in another pane in the application or in a spreadsheet.
- Catalog type
  At Verisk, catalogs include events based on one or more models over a period of time.
- Catastrophe bond
  A program type which involves catastrophe-linked securities contracts.
- Catastrophe excess of loss
- CATRADER
  Verisk proprietary software application for the reinsurance market.
- CEDE
  A Verisk database format that defines and stores detailed (location level) exposure data.
- Clusters
  Clusters are a group of districts within a state in India.
- Coinsurance
  Coinsurance represents the proportion of the losses to the layer that are paid by the reinsurance program.
- Column chooser
  The Column Chooser is available from a variety of panes and used to filter which columns to display.
- Common buttons
  The application display many buttons (icons) that are common to many windows, panes, and dialog boxes.
- Company loss
  Company losses are calculated once losses are summarized for all events associated with the company.
- Company loss maximum
  Company loss maximum is a trigger which excludes occurrences from consideration in a loss calculation.
- Company loss minimum
  Company loss minimum is a trigger which excludes occurrences from consideration in a loss calculation.
- Contract gain
  Adjustment associated with portfolio analyses only.
- Contract loss
  Losses based on contract terms entered for the program being analyzed,
- Cores
  A core is an individual processor; the part of a computer that executes programs.
- Country codes and abbreviations
  Information concerning countries commonly used in Touchstone Re.
- Coverage rate
  Coverage rate indicates the percentage of company loss of that particular LOB to consider when applying financial terms.
- CREPS
  Original name for current Relationships feature.
- CRESTA
  Country-specific zones for the uniform and detailed reporting of exposure data usually relating to natural hazards.
- CSV
  A CSV (comma separated file) is a simple text file that stores data.
- Currency rate settings
  Currency rates are established for each reinsurance program.
- Damage factors
  Damage factors are applied to catastrophe models to customize losses based on the experiences of a company.
- Demand surge
  Demand Surge is the increase in prices for labor and materials following a catastrophe, as contractors take advantage of the increase in demand for repairs and replacement construction.
- Demand surge factors
  A demand surge adjustment factor represents the increase in building costs caused by an excess demand for resources such as materials and labor following a major catastrophic event.
- Deterministic Event
  A deterministic event is an event described by user-selected values for event characteristics.
- DLF
  A Detailed Loss File contains area and subarea information as well as line of business information.
- ELT
  The Event Loss Tables (ELT) are the format used to transfer loss files from Touchstone Re to Analyze Re.
- EMF
  Event Mapping Files (EMF) are used to map events between versions of select U.S. models.
- Exposure management module
  module.
- EP adjustment
  A adjustment made to an exceedance probability (EP) curve at the program level based on user knowledge of loss experience for a particular model.
- EP values
  Exceedance Probability (EP) values are those values assigned to a distribution of points (e.g., year, return period, event ID).
- Event characteristics
  An event characteristic is a variable that describes an aspect of an event.
- Event set
  An event set specifies the loss files to use for an analysis.
- EVI
  A simple text file generated by Verisk software, which includes information to communicate loss information between the application and the associated loss file.
- EVT
  A file of indexed events.
- Exceedance probability
  A set of probabilities and return periods that appear in loss analysis results.
- Expected loss
  Expected loss is the percentage of loss each bond/layer is expected to incur in any given year.
- Expiration date
  Expiration date is the last day on which coverage for this treaty is effective.
- Exposure adjustment factor
  Adjustment factor used to modify company exposures by LOB.
- Exposure data
  Exposures are collections of data which measure of vulnerability to loss, usually expressed in dollars or units.
- Extreme disaster scenario
  An Extreme Disaster Scenarios (EDS) represent unlikely, but scientifically plausible, scenarios that cannot be captured by standard stochastic modeling techniques.
- Factors and adjustments
  A variety of factors and adjustments can be applied in Touchstone Re.
- Facultative reinsurance
  A common insurance arrangement in the reinsurance business where contracts are negotiated separately for each insurance policy.
- Filter
  Some areas of the user interface include tools that enable you to filter by a set of criteria.
- Filter operators
  Operators help you filter information.
- Final net loss
  Final Net Loss is total event losses net of reinstatement premiums but not the initial program premium.
- FIPS
  FIPS are used to name states and counties in numerical format.
- GeoJSON vector file
  Vector file which can be imported into and displayed by Touchstone Re.
- GeoTiff raster file
  Raster file which can be imported into and displayed by Touchstone Re.
- GML vector file
  Vector file which can be imported into and displayed by Touchstone Re.
- Gross loss
  Gross loss includes the total event losses net the percentage established for gross participation.
- Gross participation
  Gross participation is the percentage of the losses to be assumed by the reinsurer.
- Ground up loss
  Ground up loss (a.k.a. Company loss, GU) is the total loss generated before the application of any financial terms.
- HIST
  Verisk's Historical Catalog (HIST) includes historical events for one or more models.
- Historical events
  Historical event sets contain simulations of historical events.
- Inception date
  Inception date is the first day on which coverage for this treaty is effective.
- Include LOBs
  LOBs to include in your program.
- Industry Exposure Database
  An Industry Exposure Database contains industry-wide data on aggregate exposures for sums insured, number of risks, and premium data by line of business and payroll.
- Industrial facility module
  Industrial Facility Module (IFM) identify occupancy class codes for the 400 series.
- Industry loss file
  An ILF contains gross industry insurable losses for each peril type organized by event, geographic area and line of business.
- Industry loss maximum
  An industry loss maximum is a trigger which specifies the value above which occurrences are excluded from consideration.
- Industry loss minimum
  An industry loss minimum is a trigger which specifies the value below which occurrences are excluded from consideration.
- Industry loss warranty
  A reinsurance program (ILW) where the reinsurer or investor purchases protection based on the total loss arising from an event to the entire insurance industry.
- Insurers coinsurance
  The portion of the losses to the layer that are retained by the cedant.
- Inuring loss
  Inuring loss is the loss reduction applied to company loss after inuring programs and terms are invoked.
- Inuring program
  Inuring reinsurance programs affect the amount of risks being transferred to or from the reinsured and which contract is affected.
- Investment
  An investment is a resource (e.g. money, time) set aside in the expectation of some benefit in the future.
- Investment amount
  The investment amount (monetary) associated with the bond/layer.
- LIBOR
  London Interbank Offered Rate (LIBOR) is a benchmark rate that some of the world's leading banks charge each other for short-term loans.
- Lines of business
  Exposures are organized into LOBs which are specific to country and peril type.
- Loss file format
  Guidelines for loss file format.
- Loss market shares
  Loss market shares are calculated by dividing a company's stochastic losses across all events by the industry insurable losses across all events (by peril, area or subarea, and LOB).
- Loss modification factor
  A user-specified adjustment factor that applies to the ground-up losses for a single program.
- Loss perspectives
  A manner in which losses are viewed.
- Market share
  Market share is the percentage of insurable exposure in a given region and line of business covered by an insurance or reinsurance company in terms of industry totals as defined in the ts-tsre_all/help_tsre_ref_indust-exposure-db.html.
- Market trend factor
  A market trend factor is a user-specified adjustment factor that applies to the losses for a single program.
- Match loss
  A program term associated with occurrence limit.
- MPCI
  Insurance focussed primarily on crop-related perils and losses.
- MPCI analysis - China
  Multi-Peril Crop Insurance (MPCI) analysis for China is based on premiums for all crops.
- MPCI analysis - India
  Multi-Peril Crop Insurance (MPCI) analysis for mainland India.
- MPCI analysis - United States
  The Multi-Peril Crop Insurance (MPCI) model for the U.S. is based on premiums for all crops.
- Multi-year reset date
  Parameter to override program inception date.
- Net of pre-CAT
  Net of Pre-CAT loss is the total loss generated after the application of all reinsurance treaties, except for Catastrophe Excess of Loss (CAT XOL) treaties.
- Net participation
  Net participation is the actual amount that the original reinsurer is liable for.
- Net retained loss
  Net retained losses are losses retained by a ceding company (primary insurer) after netting out reinsurance contract losses and any associated inuring contract losses.
- Occurrence limit
  An occurrence limit is the maximum loss that this treaty can incur from each occurrence.
- Occurrence loss
  The highest possible loss for the specified period from a single event.
- Occurrence retention
  Occurrence retention is he value below which occurrence losses are not assumed by the layer.
- Pandemic
  A pandemic is an epidemic of infectious disease that has spread across a large region, countries, multiple continents, or even worldwide.
- Participation
  Participation indicates the reinsurers' share of the portfolio.
- Per risk
  A reinsurance program (PR) which applies retention and amount of reinsurance "per risk" rather than on an aggregate or per event basis.
- Percent ceded
  Percent ceded is the ceded amount as a percentage.
- Percent placed
  Percent Placed is the percentage of the treaty that has been placed with reinsurers.
- Perils
  Verisk identifies certain hazards that can be measured against potential or actual insured losses.
- Perspective
  A perspective specifies the terms that should apply to the loss results.
- PMFBY
  Pradhan Mantri Fasal Bima Yojana (PMFBY) is the government sponsored crop insurance scheme for India that integrates multiple stakeholders on a single platform.
- Premiums
  A premium type is used to view the loss results net of the reinsurance premium received for the contract.
- Principal amount
  The principal amount associated with the bond/layer.
- Probability of attachment
  The probability (%) of a program/layer experiencing some loss.
- Probability of exhaustion
  The probability (%) of a program/layer experiencing a complete loss.
- Probabilistic event
  A probabilistic event is an event described by probable values for event characteristics.
- Probable maximum loss
  The probable maximum loss (PML) is an estimate of the likelihood that a catastrophic loss will be met or exceeded within a specified time.
- Program loss adjustments
  Program Loss Adjustments (PLA) is one feature of Verisk's ts-tsre_all/help_tsre_ref_advanced-loss-mod.html (ALM) offering.
- Program structures
  A drag-and-drop visualization of complex reinsurance structures managed under the Relationships tab.
- Program types
  A reinsurance program is insurance for an insurance company.
- Projections
  Map projections certified for use.
- Quota share
  A reinsurance program (QS) where the reinsurer accepts a stated percentage of each exposure written by the ceding company on a defined class of business.
- RDS
  Lloyd's of London maintains Realistic Disaster Scenarios (RDS) to stress test both individual syndicates and the market as a whole.
- Reinstatement
  A reinstatement is the number of times a layer may be reinstated during the contract year.
- Reinsurance terms
  Common reinsurance terms.
- Risk limit
  Risk limit is the treaty limit for a single risk or layer.
- Risk retention
  Risk retention is the value below which the total losses are not assumed by the layer.
- Selection Controls
  Selection controls are used to quickly select or deselect items in a list.
- Shapefiles
  A shapefile is a simple, non-topological vector format for storing the geometric location and attribute information of geographic features.
- SID
  Sequential Identifier (SID) used in database implementation for unique identification of a record.
- Source program
  A source program (child) is associated with a subject program (parent).
- Spread
  The coupon spread for the bond/layer over LIBOR.
- SQLite vector file
  Vector file which can be imported into and displayed by Touchstone Re.
- SRA
  A Standard Reinsurance Agreement (SRA) for federal crop insurance is a set of contracts between the U.S. Department of Agriculture's (USDA) and private companies.
- Starting event #
  An integer value that indicates at which event during the year the layer terms are to become effective.
- Status
  Status of the program or layer.
- STC
  A Stochastic Catalog (STC) includes events based on one or more stochastic models over a period of time.
- Stochastic model
  A stochastic model is a tool for estimating probability distributions of potential outcomes by allowing for random variation in one or more inputs over time.
- Sums insured
  Sums Insured (SI) is the maximum amount that an insurance company insurance company is obligated to cover in the event of a covered loss.
- Surplus share
  Surplus share is proportional reinsurance program(SS) in which the reinsurer assumes pro rata responsibility for uniquely defined portions of the risk.
- Tail value at risk
  The tail value at risk (TVAR) measures the average of all simulated losses from a percentile or return period on the loss distribution through the full "tail" of the loss distribution.
- Take-up rates
  Take-up rates are the percentage of insurable properties that are actually insured.
- Target
  In Touchstone Re, a target is a company loss set or an exposure set.
- Treaty ID
  Treaty ID is a unique identifier provided by the user when creating a program.
- Touchstone
  Touchstone^® is Verisk's risk management solution for detailed loss.
- Touchstone Online Help
  For more information on topics specific to Touchstone Re sister application, Touchstone go to the Client Portal to review the Release Documentation.
- Treaty information
  Treaty information are program details.
- Treaty reinsurance
  A common insurance arrangement in the reinsurance business.
- Treaty terms
  Treaty terms are characteristics used to define a reinsurance program.
- Treaty type
  Touchstone Re reinsurance programs support a number of reinsurance treaty types.
- Triggers
  Triggers define company and industry loss parameters and take into consideration the geographic region defined in Applies to Areas.
- User-defined categories (UDC)
  UDCs enable you to classify companies and programs using criteria that are meaningful and useful to you.
- ULF
  A user-generated Loss File (ULF) is an ASCII file.
- UNC
  UNC) is a standard for identifying servers, printers, and other resources in a network.
- Underwriting judgement factor (UJF)
  A UJF is a user-defined adjustment factor that applies to ceding company program losses.
- UNICEDE
  UNICEDE files contain exposure information that is easily imported into Touchstone Re.
- Unit
  A control that enables you to specify the order of magnitude at which you want to view monetary figures.
- Vector files - guidelines and restrictions
  Vector file which can be imported into and displayed by Touchstone Re.
- World Scenarios events
  Contain a suite of event types used by Verisk applications.
- WSST
  Warm Sea Surface Temperature (WSST) refers to long-term warming and cooling trends in the Atlantic Ocean that have been shown to affect hurricane activity, with increased activity occurring during warming trends.

Aggregate excess of loss

>A reinsurance program (AOL) where the reinsurer indemnifies the ceding company for that portion of the loss that exceeds the limit of its own retention for a given year.