number of CAT events

jjj820jjj820
in BCAR.Cat

H Graham,

From Wiki
"Stressed score is a score that reflects the ability of an insurer to continue operating even after a castastrophe (based on natural catastrophe stress test)"

From BattleQuiz: "the purpose of the CAT stress test" is to test the financial condition of insurer after 2 major CAT events.

I am confused, is that supposed to be 1 or 2 CAT events?

Thank you

Comments

  • grahamgraham

    I can see how that's confusing. The standard BCAR score already has a catastrophe component. The stressed BCAR score is for a second catastrophe. (That's what I meant when I wrote that the stressed score measures the ability of an insurer to continue operating even after a catastrophe.)

    I added a comment in the wiki to make that more clear. Thanks!

  • jjj820jjj820

    Thank you Graham !

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