INSURANCE WORLD: A Laboratory for Studying the
Dynamics of the Global Insurance Industry
INSURANCE WORLD: A Laboratory for Studying the
Dynamics of the Global Insurance Industry
The world's catastrophe insurance industry is a complicated interaction
between natural events like hurricanes and earthquakes, individuals and
firms who purchase property insurance, primary insurance companies who
sell policies, and reinsurers who absorb excess risk from the primary
insurers. The Insurance World simulator is a tool for studying the
interplay among these various factors, enabling investigators to trace
out the implications for the customers and firms of various scenarios
for the occurrence of natural hazards. This talk will explain the
development of Insurance World, as well as the assumptions and
relations underlying the interactions between the various agents making
up the world of insurance. Time permitting, demonstrations of some
sample scenarios will be given.