|
Allianz Re‘s Cat Management stands for Risk Management of Natural Catastrophes.
Natural catastrophes are caused by natural forces, which mainly include wind, flooding, earthquake, and hail. They are characterized as low frequency, even though notable events become more and more frequent.
This implies an extreme volatility risk for the insurance industry with a special demand for capitalization and the requirement for a distinct risk management approach.
Cat Risk Management at Allianz Re comprises meteorologists, hydrologists, seismologists, and mathematicians which have a profound understanding of hazard assessment, and portfolio analysis in this sector.
The team categorizes the management cycle in three components.
- The first is knowing your risk, which relates to the insurance portfolio itself.
- The second is understanding your risk, which implies to use the correct tools to carry out an appropriate hazard analysis.
- The third is managing your risk. This segment covers aspects of portfolio optimization by means of risk pooling, traditional retrocession, or capital market solutions.
|
