Insurance World Simulator

Large, global insurance and reinsurance companies regularly experience huge capital losses due to catastrophes (hurricanes, floods, etc.). But, due to the extremely complex nature of the industry, companies can also experience major losses due to the negative consequences of their strategic business decisions, often resulting in bankruptcy.

With the Insurance World (IW) business simulation modeling system, a company can model its specific economic business environment. It can track its capital flows through a catastrophic event, gaining deep insight into potential losses due to hidden capital exposures. With this knowledge, businesses can plan for extraordinary events and gain a significant competitive advantage.

The insurance industry understands that today, they must manage uncertainty and volatility as a portfolio of risks, not as independent events. IW simulators model the total external enterprise risk -- not only insurable risk exposures, but also financial and investment risks. In the financial area, for example, the Insurance World simulator models stock markets, real estate, short-term bonds, long-term bonds, and the use of Catastrophe bonds. Versions of the simulator offer training capabilities and address government regulations, terrorism scenarios, pricing scenarios, mortgage insurance default simulations, and more.

Businesses using Insurance World simulators gain the ability to test business strategies “in silico” before committing resources, creating not only a distinct competitive advantage, but also the ability to dramatically boost profits.