On Thursday, May 21, Holborn hosted a WebEx with Vice President Dan Zitelli presenting a talk he originally gave at the RMS Exceedance conference. The main takeaways from the discussion were:
- Given the many shortcomings of the Cat Models, prudent risk management involves creating one’s own view of catastrophe risk.
- Improving data and using deterministic loss scenarios are two ways to help develop a customized view of cat risk.
- Breaking EP curves down into the component parts, that are innately understood, helps create clarity in cat model results.
- Using actual cat experience to compare with model results can lead to a greater understanding of the role of models in an organization’s risk management.
The full presentation is available in the video below.