This unit examines the principles of solvency regimes that apply to insurance companies and describes the importance of provisioning practices used to account for future losses. It also describes risk measurement and management practices and outlines solvency stress tests. It describes the role of reinsurance in the insurance industry, and outlines the different types of reinsurance currently available and how these are used by insurance companies to mitigate extreme risks. It describes approaches taken by regulators to monitor, supervise and assess the levels of risk retention in insurance companies, and the approaches taken to regulating and supervising reinsurance companies. -- Course Website
Instructor: Associate Professor Robert Trevor
Prerequisites: Admission to MFinReg
