ILS Capital Relief Calculator

Your cat bonds are capital. Price them like it.

Insurance-linked securities relieve the same capital pressure a reserve deficiency creates. Enter a portfolio below, or work with the sample, and the calculator returns risk-adjusted return, capital relief, and basis-risk-adjusted reallocation guidance, computed live in your browser. Nothing you type leaves this page.

Sample Demonstration - Prefilled With An Anonymized Reference Portfolio - Editable

Portfolio intake

Edit any cell, change a trigger, or add a row. Everything below recalculates instantly. Triggers carry basis-risk factors: Indemnity 1.0, Modeled Loss 0.9, Industry Loss 0.8, Parametric 0.7.

InstrumentTriggerNotional ($M)Spread (bps)Exp. Loss %

Model parameters

Portfolio results

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Total notional deployed
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Annual spread income
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Capital relief vs traditional RI
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Economic capital, ES95 basis
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Portfolio RoRAC
InstrumentIncome ($M)Relief ($M)Econ Cap ($M)RoRACBR FactorBR-AdjSignal

Reserve linkage

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Demonstration of AIPX3 ILS module methodology on an anonymized reference portfolio. Computations run locally in your browser; no portfolio data is transmitted or stored. Reallocation signals are illustrative methodology, not investment advice or a recommendation to buy or sell any security.

Why This Matters

Capital relief is reserve relief by another door.

A carrier facing a reserve deficiency has three levers: strengthen reserves, raise capital, or transfer risk. ILS is the third lever priced in a market. The platform values each instrument on basis-risk-adjusted return on the economic capital it consumes, so a parametric bond's faster payout is weighed against the chance it pays on the wrong event. In an engagement, this module runs against your actual treaty structure and your deficiency, not a reference portfolio.

Price your real portfolio.

A briefing runs your ILS book and your reserve position through the full engine, together.

Request a Reserve Briefing