Review of ISO’s New ILF Tables June 16, 2000 beyond The Box Thinking Jerome A. Degerness Seminar on Reinsurance Casualty Actuaries in Reinsurance Committee on Reinsurance Research
ISO’s New ILF Tables Overview of the Session Recent ISO ILF Changes Reinsurance Company Perspective Intermediary Perspective
ISO’s New ILF Tables Intermediary Considerations Underlying Coverage & Reinsurance Terms Limits Deductibles Attachment Points Treatment of ALAE Transition Rules Do limits affect severity? Is ALAE Independent of Policy Limit?
ISO’s New ILF Tables Buyer’s Experience - Possible Scenarios Writes high limits and has a high incidence of large losses. Writes high limits, but has a low incidence of large losses. Plans to write higher limits, has no large loss experience.
ISO’s New ILF Tables Experience and Exposure Analysis - Information Loss and ALAE Limits Subject Premium, lines, etc. Reinsurance Options to be Considered Does the company write Excess/Umbrella over its own or other carriers policies?
ISO’s New ILF Tables Risk Load Buyer’s perspective Reinsurance Company perspective