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Developing Insurance Markets : On Risk Sensitive Capital Rules (الإنجليزية)

Insurance capital rules come in a range of forms. Although then can appear very different, they can also be thought of as a series along a continuum between more and less risk sensitive approaches. As an approach to a capital rule becomes more risk sensitive it can better reflect actual risk in a diverse set of individual firms in a jurisdiction. However, most approaches do have some standard or sector wide approaches that reflect an “average” position...
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