Loss Exposure

Loss Exposure

The amount that one risks. For example, if one spends $100,000 buying stock, one has a loss exposure of $100,000 because there exists the theoretical possibility that the value of that stock could go to zero.
References in periodicals archive ?
Such developments are causing underwriters a lot of concern, given that their loss exposure can hinge on what type of activity it is that causes damage--whether simple acts of piracy or an act of terrorism.
Offsetting these positive rating factors is GIC Re's poor underwriting performance, increasing overseas catastrophe loss exposure and high exposure to equity market volatility.
Whatever the consequence, the loss exposure exists and it's not going away anytime soon.
Limited Loss Exposure: Currently, 97% of the loan portfolio consists of FHA-insured loans and 3% of the loans are VA guaranteed limiting potential loss exposure.
This benefit, along with the new tax ruling regarding captives, adds a new dimension to the cost determination of retaining loss exposure in a consolidated group.
How insurers manage catastrophe programs for the remainder of the year will be influenced by pricing and availability of property catastrophe coverage, as well as emerging views of loss exposure and whether the rising frequency and severity of storms seen in recent years is now the norm.
Noting that he and his fellow modeling firms long have been forcing users to adapt to each of their own proprietary data formats, Clinton said a move toward open standards would allow insurers to assess and manage catastrophe loss exposure more effectively.
This purchase was done in part to accommodate the rise in insured values, to answer demand by the company's policyholders for higher limits and USPlate's continued practice to limit its potential net catastrophe loss exposure to a 1 in 250-year catastrophe event.
In our current economic environment, bankruptcies are increasing like never before, and collections professionals need access to the most current, comprehensive data possible in order to collect on accounts and reduce loss exposure," said Robert Fite, vice president, LexisNexis Receivables Management Solutions.
Or, for a company with little data, but whose loss exposure may be assumed to be similar to a peer group, a survival ratio analysis of that peer group may be considered an interim indication of a reserve need, until more useful information is available.
Fitch views the company's investment loss exposure relative to capital and earnings as above average compared to industry peers.
In this incident, we were linked publicly and it would have been reasonable for analysts to believe we would have a significant loss exposure.