On January 23, we released several enhancements to Oortfolio's Litagion® Exposure view. Oortfolio's Litagion Exposure view, released for the first time in December 2017, quantifies a portfolio's accumulation of latency catastrophe risk by individual risk (or Litagion agent). The enhancements in this release include the addition of two new exposure metrics, a table that summarizes all available exposure metrics by Litagion agent, and the ability to identify contributing policies to any of the now eight available exposure metrics.
New Exposure Metrics
This release adds two new exposure metrics to Oortfolio's Litagion Exposure view (1):
- Ground-up unlimited policy year loss
- Ground-up limited policy year loss
The two new exposure metrics estimate the amount of future loss allocated to the current policy year given the form on which each policy in the portfolio is written. "Ground-up limited policy year loss" accounts for each policy's insured limit and form and disregards attachment whereas "ground-up unlimited policy year loss" accounts for form and disregards those limits and attachments. For example, for an insured with a $25M limit and $50M attachment where $60M in loss is allocated to the current policy year, the ground-up limited policy year loss = $25M and ground-up unlimited policy year loss = $60M. If, instead, $20M in loss is allocated to the current policy year, the ground-up limited policy year loss = $20M and ground-up unlimited policy year loss = $20M.
"Limited policy year loss above attachment" (formerly referred to as "policy year loss") accounts for form, limit, and attachment and is equivalent to the exposure metric used in Oortfolio's "Aggregate Exposure" view.
Oortfolio users can now examine Litagion agent accumulations across all exposure metrics in a single table (2). Users can toggle between the summary table view and the horizontal bar chart view previously released.
Clicking on a single bar in the horizontal bar chart view or single entry in the summary table view (3) takes users to a table of policies that contribute to the portfolio-level exposure metric for the selected Litagion agent (4). Each policy's contribution to the portfolio's overall Litagion agent exposure for the selected exposure metric is displayed for each statistic (e.g., EL, TVaR(5), PML(5), PML(1)).