Micro- Resource- Pooling System And Corresponding Method Thereof
Field of the Invention
The present invention relates to a resource-pooling system and
corresponding method for risk sharing of a variable number of risk exposure
components by providing a self-sufficient risk protection for the risk exposure
components by means of the resource-pooling system. Especially, the invention is
directed to automated micro entrepreneurs units receiving micro-insurance based
damage coverage, which proceeds e.g. after devastating catastrophe. Such riskpooling
systems comprise typically a t least a n assembly module to process risk related
data of the components and to provide the likelihood of said risk exposure for one or a
plurality of the pooled risk exposure components based on the risk related data of the
components. The pooling system can be underlaid or supplemented by a donorcapitalized
complement unit.
Background of the Invention
One of the most challenging aspects in the risk transfer technology is
capturing and balancing risk exposure of small units associated with a n instable
financial background. Especially in the poor regions of our world, there is a massive gap
between economic and insured losses due to the lack of appropriate means in the risk
transfer and damage covering industry. Figure 3 shows the natural catastrophe losses
from the years 1980 to 2010 in USD billion worldwide. Figure 3 demonstrates that the
effective economic loss is far from being covered by the insured loss. These is one of the
reasons why natural catastrophes not only pose a material risk to society but also give
rise to political instabilities and pressing welfare risks. Since this misbalance is far more
severe in poor regions a s typically found in developing countries, the present invention
is directed to the problems associated to risk transfer in such regions.
Providing the technical features to enable risk covering for people and
societies a t the bottom of the pyramid is a key element in development and research
in that field. It is characteristic for the problem that the poor face more risks in their life
than the well-off situated, and more important, they are more vulnerable to the
devastation that can be caused by the loss of life, health or a n asset. In literature, it is
often pointed out that poverty and risk transfer a s e.g. insurance facilities do not fit
together, and insurance is totally beyond the affordability of the poor. In developing
countries like many states of the African, Asian or central Asian continent or even in
newly industrialized countries a s e.g. India, this statement would hold, for sure to a
certain extent.
Providing the technical means for the systematic management of financial
risks associated to the livelihoods and lives of the rural and/or urban poor based o n their
characteristic possibilities through adapted means can be one of the ways out of the
dilemma. However, the characteristics of the poor give difficult basis for risk transfer,
since they have typically no or a very small financial background. Further they are
difficult to be captured by a system due to the environmental conditions in which they
are embedded in, and due to their large number. In the state of the art, mechanism, a s
e.g. micro-insurance systems, try to offer new ways of combating the problem. Microinsurance
based systems can provide greater economic and psychological security to
the poor since it reduces exposure to multiple risks and lessons the impact of a disaster.
In the state of the art, the technical means for micro-insurance systems are often
provided in conjunction with micro savings means and micro credit means in order to
become a working system and to keep the captured units or people away from the
poverty trap representing in these systems typically a n integral component of financial
inclusion. Somehow, the addressed units in the poor regions need a conviction that
paying for risk transfer respectively buying insurance coverage is more worthwhile to
them than being without it. For sure, different factors and boundary conditions have to
be considered by reducing the vulnerability of the poor including the role of the
specific Government subsidizing micro-insurance systems and Regulators ensuring
proper development of both social and/or rural sector. However, a s long a s there is no
real working system, these factors are constrained from contributing to the solution.
While micro-risk transfer systems, a s e.g. micro-insurance systems, can act a s
a buffer against risks faced by the poor, it is vulnerable to such systems to consider the
conditions in which these systems operate. The operational and financial stability of
these micro-insurance systems are a t stake given the high risk clientele they cater to,
and the limited funds at the disposal of the system. Unlike other consumer specific
systems, risk transfer systems have peculiar traits that prove challenging when applying
the system to the target population. While some risks may pose threats to the survival of
a micro-insurance system, others may undermine the operation of the system and/or
limit its ability to meet the set objectives. It is therefore essential for such systems to
identify and implement appropriate and effective risk management features, and
more broadly adopt the necessary technical approach. The presence of a n operating
risk management structure can enhance the system credibility. Lowered risk leads to
improved operations and increased sustainability, which allows the systems to be seen
a s low risk, and therefore a better investment for partners and clients supporting the
system. Associated reinsuring systems will also be more forthcoming in dealing with riskmanaged
insurance systems. Donors, potential staff, supporters, and clients also benefit
from incorporation such technical structures a s the improved financial standing works in
their favor.
Technical objects of the invention
It is a n object of this invention to provide automated operable system and
the technical means and method thereof for a resource-pooling system (i.e. a n
"aggregation" institute) for risk sharing of a variable number of risk exposure
components by providing a self-sufficient risk protection for the risk exposure
components by means of the operation of the resource-pooling system. It is a further
object of the present invention to provide such a resource-pooling system and a n
appropriately implemented method for the systematic and automated or a t least half
automated management of financial risks associated to the livelihoods and lives of the
rural and/or urban poor based o n their characteristic conditions through specific
adapted features. The system should provide a stable operation to threats to the
survival of the system, a s well a s to threats undermining the operation of the system
and/or limit its ability to meet the set objectives. It should be capable of implementing
appropriate and effective risk management features, and broadly adopt the
necessary technical approach. It is yet a further object of the present invention to
provide a system, which enhances through its stable operating risk management
structure the system's credibility and lowered risk by improved operations and
increased sustainability, which allows the systems to be operated at low risk, and
therefore allow the system to give basis to better investment grounds for partners and
clients supporting the system. Finally the system should provide a more forthcoming
environment and technical underlying operation to associated reinsuring systems
cooperating with the technical means of the risk-managed insurance systems.
Summary of the Invention
According to the present invention, these objects are achieved particularly
through the features of the independent claims. In addition, further advantageous
embodiments follow from the dependent claims and the description.
According to the present invention, the above-mentioned objects are
particularly achieved in that the resource-pooling system for risk sharing of a variable
number of risk exposure components by providing a self-sufficient risk protection for the
risk exposure components by means of the resource-pooling system comprises at least
a n assembly module to process risk related components data and to provide the
likelihood of said risk exposure for one or a plurality of the pooled risk exposure
components based o n the risk related components data, in that the risk exposure
components are connected to the resource-pooling system by means of a plurality of
payment receiving modules configured to receive and store payments from risk
exposure components for the pooling of their risks, in that the total risk of the pooled risk
exposure components comprises a first risk contribution associated to risk exposure in
relation to loan losses, wherein the loan losses occur a s consequence to insolvency of
risk exposure components owing to the occurrence of a risk event contributable to the
risk exposure, in that the total risk of the pooled risk exposure components comprises a
second risk contribution associated to risk exposure based o n emergency expenses,
wherein the emergency expenses occur for risk exposure components owing to the
occurrence of a risk event contributable to the risk exposure, in that by means of a n
indexing module the pooled risk is divided in a parameterizable risk part and a nonparameterizable
risk part, wherein the parameterizable risk part is transferred to a
connected loss coverage system by means of a multidirectional risk transfer module
transferring risk factors in exchange of premium payment parameters to achieve loss
covering of the parameterizable risk part by means of the connected loss coverage
system, in that the non-parameterizable risk part is directly covered by the resourcepooling
system based o n the received and stored payments from risk exposure
components, and that in case of triggering a loss by means of a trigger module
suffered loss is covered by releasing associated loans and emergency expenses of the
risk exposure components by transferring payments from the resource-pooling system to
the risk exposure components based o n the parameterizable risk part from the
connected loss coverage system and based on the non-parameterizable risk part from
the received and stored payments from risk exposure components. In the event of basis
risk, the risk of mismatch between actual losses incurred from a given loss event versus
the payout received for the same loss event from a n index-based or parametric
insurance and/or event-driven product, the resource-pooling system will automatically
or semi-automatically access its capital base to absorb some of this risk. Remaining
basis risk will be limited through a novel loss settlement process that aligns all parties
with the goal of long term economic development. The parameter for the alignment
can be set in advance or ad-hoc. In a special embodiment variant, the parameter
setting for the novel loss settlement process is achieved by means of the system using
pattern matching of Monte Carlo simulated or historical long term development
patterns. The basis risk coverage is aimed a t meeting any gaps between what the
parameterizable risk part covers for a particular risk exposure component or client for a
given event and what the given risk exposure component or client is required to
monetarily transfer under its defined risk exposure parameters, i.e. its own written
commitments. In this way, the separation of the parameterizable and nonparameterizable
parts preferably are kept connected through a "seamless integration"
both in financial exposure a n process, i.e. the end or final "risk exposure components"
are not affected by differences in the transfer or the risk. The system acts a s a
aggregation institute to aggregate the risk and provide claims to the risk exposure
components in a seamless process so that the risk exposure components receive a
single payment. Further, the risk transfer from the risk exposure components to the riskpooling
system by means of the multidimensional risk transfer module scales to the
magnitude of the exposure, so in that the risk transfer module is rather multidirectional
or scaled than binomial. This allows for payments under the parametizable component
that is more attuned to real losses. The invention has, inter alia, the advantage that the
system and method permit for the first time the automation of the capturing and
monitoring of a stable operatable resource-pooling system for risks associated to the
livelihoods and lives of the rural and/or urban poor based on their characteristic
conditions through specific adapted features. At the same time, the invention results in
a substantial advantage with regard to provide such a resource-pooling system for the
systematic and automated management of financial risks associated to lives of the
poor. In contrast to the realization of the present system, it was scarcely possible to
provide a stable operation to threats to the survival of the system, a s well a s to threats
undermining the operation of the system and/or limit its ability to meet the set
objectives with the systems and methods of the prior art. The system of the present
invention is capable of implementing appropriate and effective risk management
features, and broadly adopts the necessary technical approach.
In a preferred embodiment, the variable numbers of pooled risk exposure
components are adaptable by the resource-pooling system to a range where notcovariant
occurring risks covered by the resource-pooling system affect only a
relatively small proportion of the totally pooled risk exposure components at a given
time. This variant has, inter alia, the advantage that the operational and financial
stability of the system can be improved.
In a further embodiment, the system comprises a payment receiving
module configured to receive and store a principal payment from a n investor for a
financial product linked to the resource-pooling system and a payment module
configured to determine a bonus payment for the investor and a return interest
payment for the investor when the pooled resources of the risk exposure components
exceed a predefined threshold value due to a low frequency of losses occurred. This
variant has, inter alia, the advantage that the interaction between the invest access
units can be eased.
In another embodiment, the parameterizable risk part of the risk exposure
covers a relatively large percentage of the total risk exposure of the pooled risk
exposure components in relation to the non-parameterizable risk part. This variant has,
inter alia, the advantage that the operational and financial stability of the system can
be improved.
In a n alternative embodiment, the parameterizable risk part covers a range
of 70% to 95% of the total pooled risk, while the non-parameterizable risk part covers a
range of 30% to 5% of the total pooled risk. This variant has, inter alia, the same
advantages a s the preceeding embodiment variant.
Brief Description of the Drawings
The present invention will be explained in more detail, by way of example,
with reference to the drawings in which:
Figure 1 shows a block diagram illustrating schematically a n exemplary
configuration of the underlying technical structure for the risk transfer of a system
according to the present invention. The reference numeral 1 refers to a resourcepooling
system connected e.g. over a network to the components with the reference
numeral 2, 3, 41/42 and/or 2 1, 22, 23,...
Figure 2 shows a flow diagram illustrating a n example of a rough overview
of the concept of the risk transfer according to the invention.
Figure 3 shows a diagram illustrating the natural catastrophe losses in the
years 1980 to 2010, in USD billion by economic loss (grand total) and insured loss (grand
total). It illustrates the massive gap between economic and insured losses and in that
way the need for a technically proper and stable operable systems for risk transfer,
especially for the poorer regions of the world.
Detailed Description of the Preferred Embodiments
In Figure 1, reference numeral 1 refers to a resource-pooling system for risk
sharing of a variable number of risk exposure components 2 1, 22, 23... by providing a
self-sufficient risk protection for the risk exposure components 2 1, 22, 23... by means of
the resource-pooling system 1. The system 1 includes a t least one processor and
associated memory modules. The system 1 can also include one or more display units
and operating elements such a s a keyboard, and/or graphical pointing devices a s a
computer mouse. The risk-pooling system 1 comprises a t least a n assembly module to
process risk related components data and to provide the likelihood of said risk exposure
for one or a plurality of the pooled risk exposure components 2 1, 22, 23... based o n the
risk related components data. The resource-pooling system 1 can be realized a s a
technical platform developed and implemented to provide micro-insurance through a
plurality of (but a t least one) payment receiving modules 2 which can be realized a s a
part of e.g. microfinance institutions (MFIs). However, it is important to note that within
this document the payment receiving modules 2 not only refer to systems related to
microfinance institutions (MFIs) but can be realized a s a part of any aggregation
institute or aggregator, such a s e.g. farming cooperatives or the like. The risk associated
to the pooled resources can e.g. comprise covering rainfall, flood, hurricane and
earthquake risk, but also other risks, including health and agriculture etc..
Figure 2 illustrated the concept and problems of the micro-insurance
technology. The reference numeral 2 1, a s pooled risk exposure components, can e.g.
be represented by a n insured or policyholder in insurance terms. However, the
reference numerals 2 1, 22, 23... are associated risk exposure component, which are
connected to the system over a network. The technical structure of the resource
pooling system is generally directed to risk transfer and associated pooling of resources
and not restricted by the terms of insurance technology. To make such catastrophe
micro-insurance systems operable in the field of very poor countries, the system 1 must
be able to provide protection, which is easy to understand, portable and allow for
quick settlement. Further, in order to stabilize the system 1, e.g. by transferring the
resource-pooling system 1 risk efficiently to international markets e.g. by means of a
plurality of invest access units 4 and/or by means of the a t least one connected loss
covering systems 3, coverage must be easy to price, not subject to manipulation, and
allow for quick settlement.
As illustrated schematically in Figure 1, in addition, the system 1 includes a
data storing module to capture the risk related components' data and multiple
functional modules, e.g. namely the payment receiving modules 2, the connected loss
coverage system 3, the payment receiving module or capital receiving module 4 1
and/or the payment module or capital deposit module 42. The functional modules can
be implemented a t least partly a s programmed software modules stored on a
computer readable medium, connected fixed or removable to the processor(s) of
system 1 or to associated automated systems a s e.g. systems 3. One skilled in the art
understands, however, that the functional modules can also be implemented fully by
means of hardware components, units and/or appropriately realized modules. As
illustrated in Figure 1, system 1 is connected via a network a s a telecommunications
network to the payment receiving modules 2, the connected loss coverage system 3,
the payment receiving module 4 1 and/or the payment module 42. The network can
include a wired or wireless network, e.g. the Internet, a GSM-network (Global System for
Mobile Communication), a n UMTS-network (Universal Mobile Telecommunications
System) and/or a WLAN (Wireless Local Region Network), and/or dedicated point-topoint
communication lines. The invest access units 4 comprise a payment receiving
module 4 1 and/or the payment module 42 to transfer monetary parameters. The
monetary parameters can be secured or unsecured. In any case, the technical
electronic money schemes for the present system comprises adequate technical,
organizational and procedural safeguard means to prevent, contain and detect
threats to the security of the scheme, particularly the threat of counterfeits.
The resource-pooling system 1 comprises further all necessary technical
means for electronic money transfer and association e.g. initiated by one or more
associated invest access units 4 over a n electronic network. The monetary parameters
can be based o n all possible electronic and transferable means a s e.g. e-currency, emoney,
electronic cash, electronic currency, digital money, digital cash, digital
currency, or cyber currency etc., which can only be exchanged electronically.
Preferably for the present invention, this involves the use of the mentioned network a s
e.g. computer networks or telecommunication networks, and/or the worldwide internet
and digital stored value systems. Electronic funds transfer (EFT), direct deposit, digital
gold currency and virtual currency are further examples of electronic money. Also, the
transfer can involve technology a s financial cryptography and technologies enabling
it. For the transaction of monetary parameters preferable hard electronic currency is
used not having the technical possibilities to dispute or reverse charges. Typically, the
system 1 only supports non-reversible transactions. The advantage of this arrangement
is that the operating costs of the electronic currency system are greatly reduced by not
having to resolve payment disputes. Additionally, it allows the electronic currency
transactions to clear instantly, making the funds available immediately to the system 1.
This means that using hard electronic currency is more akin to a cash transaction.
However, it is also imaginable to use soft electronic currency a s one that allows for
reversal of payments, for example having a "clearing time" of 72 hours or the like. The
way of electronic monetary parameter exchange applies to all connected systems
and modules to the resource-pooling system 1 of the present invention a s e.g. the
payment receiving modules 2, the invest access units 4 with the payment receiving
modules 4 1 and the payment modules 42 or the connected loss coverage systems 3.
The reference numeral 301 shows the parametric payment transfer to the resourcepooling
system 1 in case of triggered loss. The reference numeral 302 shows the
parametric monetary transfer e.g. in form of a premium transferred to the connected
loss coverage system 3, e.g. represented by a reinsurance unit. Reference numeral 302
in figure 1 also refers to the premium payment, i.e. the associated monetary transfer.
The reference numeral 101 shows the monetary parameter transfer to the resourcepooling
system 1 initiated by a payment receiving module 2 e.g. representing a microinsurance
premiums transferred to the resource-pooling system 1. The reference
numeral 102 shows the monetary parameter transfer based on a loss settlement
payment by means of the resource-pooling system 1 to the payment receiving modules
2 or directly to the pooled risk exposure components 2 1,22,23...
The risk exposure components 2 1, 22, 23... are connected to the resourcepooling
system 1 by means of a plurality of payment receiving modules 2 configured to
receive and store payments from risk exposure components 2 1, 22, 23... for the pooling
of their risks. The total risk of the pooled risk exposure components 2 1, 22, 23... comprises
a first risk contribution 2 11 associated to risk exposure in relation to loan losses, wherein
the loan losses occur a s consequence to insolvency of risk exposure components 2 1,
22, 23... owing to the occurrence of a risk event contributable to the risk exposure. I.e.
the payment receiving modules 2, which can be realized a s MFI, embeds risk transfer
e.g. in form of a insurance within a given loan.
The total risk of the pooled risk exposure components 2 1, 22, 23... comprises
a second risk contribution 2 12 associated to risk exposure based on emergency
expenses, wherein the emergency expenses occur for risk exposure components 2 1, 22,
23... owing to the occurrence of a risk event contributable to the risk exposure. By
means of a n indexing module the pooled risk is divided in a parameterizable risk part 11
and a non-parameterizable risk part 2 1. The parameterizable risk part 11 is transferred to
a connected loss coverage system 3 by means of a multidirectional risk transfer module
transferring risk factors 302 in exchange of premium payment parameters 301 to
achieve loss covering of the parameterizable risk part 11 by means of the connected
loss coverage system 3. Reference numeral 301 in figure 1 also refers to claim payment
parameters. The separation of the parameterizable and non-parameterizable parts
preferably are kept connected through a "seamless integration" both in financial
exposure a n process, i.e. the end or final "risk exposure components" are not affected
by differences in the transfer or the risk. Further, the risk transfer preferably is not only
binomial, but scales to the magnitude of the exposure, so in that sense the risk transfer
module is described a s multidirectional or scaled. The connected loss covering system 3
can be realized a s a n automated and integrated part of a n associated reinsurance
system.
The resource-pooling system 1 can e.g. use index-based policies to provide
risk transfer support e.g. reinsurance means at a cost-efficient basis. Payment transfer
can be made e.g. in a s little a s two-weeks preferably by transmitting electronic
payment parameters, but can be also realized by other electronic means. In the way
of the present realization, the resource-pooling system 1 is capable to absorb small
claims and leverages a t a single administration, which reduces expenses. The whole
technical structure of the present invention is built to provide the most cost efficient
way of resource pooling associated to risks of the connected units, which is not possible
in this way by the state of the art systems. To reduce further the operational expenses,
the payment receiving modules 2 a s a part of said microfinance institutions can be
used a s the distribution network for the insurance policies according to the invention.
The MFIs collect premiums, make payments and handle basic administration. As
embodiment variant, in order to align interests, the MFIs 2 can be conditioned to
transfer capital, e.g. in form of financial secured parameters, in the resource-pooling
system 1 before being associated to the resource-pooling system 1 respectively
participating at the system.
The non-parameterizable risk part 12 is directly covered by the resourcepooling
system 1 based o n the received and stored payments from risk exposure
components. The parameterizable risk part 11 of the risk exposure can cover a relatively
large percentage of the total risk exposure of the pooled risk exposure components in
relation to the non-parameterizable risk part 12, and/or the parameterizable risk part 11
can cover a range of 70% to 95% of the total pooled risk, while the nonparameterizable
risk part (12) covers a range of 30% to 5% of the total pooled risk. In
case of triggering a loss by means of a trigger module suffered loss is covered by
releasing associated loans and emergency expenses of the risk exposure components
2 1, 22, 23... by transferring payments 2001 from the resource-pooling system 1 to the risk
exposure components 2 1, 22, 23... based on the parameterizable risk part 11 from the
connected loss coverage system 3 and based o n the non-parameterizable risk part 12
from the received and stored payments from risk exposure components 2 1, 22, 23....
In operation, the system according to the invention can be associated to
microfinance institutions in a country. The resource-pooling system 1 can make
coverage available to a restricted amount of pooled risk exposure components 2 1, 22,
23... a s e.g. 50,000 or to a n open number of pooled components. The system allows the
pooled risk exposure components 2 1, 22, 23... to pay for coverage a t the outset of each
new loan. Once damage to the home and/or business assets for each pooled risk
exposure components 2 1, 22, 23... has been established, the payment receiving
modules 2 will eliminate the value of that pooled risk exposure components 2 1, 22, 23...
debt and pay a fixed sum for the rebuilding process. A new loan will also be made
available a s soon a s each pooled risk exposure component 2 1, 22, 23... is ready.
In a n embodiment variant, the variable number of pooled risk exposure
components 2 1, 22, 23... can be adaptable by the resource-pooling system 1 to a
range where not-covariant occurring risks covered by the resource-pooling system 1
affect only a relatively small proportion of the totally pooled risk exposure components
2 1, 22, 23... a t a given time. Further, the system can comprise a payment receiving
module 4 1 configured to receive and store a principal payment from a n investor for a
financial product linked to the resource-pooling system 1 and a payment module 42
configured to determine a bonus payment for the investor and a return interest
payment for the investor when the pooled resources of the risk exposure components
2 1, 22, 23... exceed a predefined threshold value due to a low frequency of losses
occurred.
19
List of References
1 Resource-pooling system
11 Parameterizable risk part
12 Non-parameterizable risk part
101 Monetary parameter transfer to the resource-pooling system 1
initiated by a payment receiving module 2
102 Monetary parameter transfer based on a loss settlement
payment by means of the resource-pooling system 1 to the payment receiving
modules 2 or directly to the pooled risk exposure components 2 1,22,23...
2 Payment receiving modules
2 1, 22, 23... Pooled risk exposure components
2 11 First risk contribution
212 Second risk contribution
2001 Transferring payments
2002 Embedded loan
3 Connected loss coverage system
301 Premium and/or claim payment parameters
302 Risk factors and/or premium payment
4 Invest access units
4 1 Payment or capital receiving module
42 Payment or capital deposit module
13
CLAIMS
1. A resource-pooling system ( 1 ) for risk sharing of a variable number of risk
exposure components (21 , 22, 23, ...) by providing a self-sufficient risk protection for the
risk exposure components (21 , 22, 23, ...) by means of the resource-pooling system ( 1 ) ,
wherein the risk-pooling system ( 1 ) comprises at least a n assembly module to process
risk related components data and to provide the likelihood of said risk exposure for one
or a plurality of the pooled risk exposure components (21 , 22, 23, ...) based on the risk
related components data, characterized
in that the risk exposure components (21 , 22, 23, ...) are connected to the
resource-pooling system ( 1 ) by means of a plurality of payment receiving modules (2)
configured to receive and store payments from risk exposure components (21 , 22, 23,
...) for the pooling of their risks,
in that the total risk of the pooled risk exposure components (21 , 22, 23, ...)
comprises a first risk contribution (21 1) associated to risk exposure in relation to loan
losses, wherein the loan losses occur a s consequence to insolvency of risk exposure
components (21 , 22, 23, ...) owing to the occurrence of a risk event contributable to
the risk exposure,
in that the total risk of the pooled risk exposure components (21 , 22, 23, ...)
comprises a second risk contribution (212) associated to risk exposure based o n
emergency expenses, wherein the emergency expenses occur for risk exposure
components (21 , 22, 23, ...) owing to the occurrence of a risk event contributable to
the risk exposure,
in that by means of a n indexing module the pooled risk is divided in a
parameterizable risk part ( 1 1) and a non-parameterizable risk part (12), wherein the
parameterizable risk part ( 1 1) is transferred to a connected loss coverage system (3) by
means of a multidirectional risk transfer module transferring risk factors (302) in
exchange of premium payment parameters (301 ) to achieve loss covering of the
parameterizable risk part ( 1 1) by means of the connected loss coverage system ( 1 ) ,
14
in that the non-parameterizable risk part (12) is directly covered by the
resource-pooling system ( 1 ) based o n the received and stored payments from risk
exposure components, and
that in case of triggering a loss by means of a trigger module suffered loss is
covered by releasing associated loans and emergency expenses of the risk exposure
components (21 , 22, 23, ...) by transferring payments (2001 ) from the resource-pooling
system ( 1 ) to the risk exposure components (21 , 22, 23, ...) based o n the
parameterizable risk part ( 1 1) from the connected loss coverage system (3) and based
on the non-parameterizable risk part (12) from the received and stored payments from
risk exposure components (21 , 22, 23, ...).
2. The system ( 1 ) according to claim 1, wherein the variable number of
pooled risk exposure components (21 , 22, 23, ...) are adaptable by the resourcepooling
system ( 1 ) to a range where not-covariant occurring risks covered by the
resource-pooling system ( 1 ) affect only a relatively small proportion of the totally
pooled risk exposure components (21 , 22, 23, ...) at a given time.
3. The system ( 1 ) according to claim 1 or 2, wherein the system comprises a
payment receiving module (41 ) configured to receive and store a principal payment
from a n investor for a financial product linked to the resource-pooling system ( 1 ) and a
payment module (42) configured to determine a bonus payment for the investor and a
return interest payment for the investor when the pooled resources of the risk exposure
components (21 , 22, 23, ...) exceed a predefined threshold value due to a low
frequency of losses occurred.
4. The system ( 1 ) according to one of the claims 1 to 3, wherein the
parameterizable risk part ( 1 1) of the risk exposure covers a relatively large percentage
of the total risk exposure of the pooled risk exposure components in relation to the nonparameterizable
risk part (12).
5. The system ( 1 ) according to claim 4, wherein the parameterizable risk
part ( 1 1) covers a range of 70% to 95% of the total pooled risk, while the nonparameterizable
risk part (12) covers a range of 30% to 5% of the total pooled risk.
15
6. The system ( 1 ) according to one of the claims 1 to 5, wherein the
separation of the parameterizable and non-parameterizable parts are kept connected
through a seamless integration both in financial exposure a n process, wherein the
system ( 1 ) acts a s a aggregation institute to aggregate the risk and provide claims to
the risk exposure components (21 , 22, 23...) in a seamless process so that the risk
exposure components (21 , 22, 23...) receive a single payment.
7. The system ( 1 ) according to one of the claims 1 to 6, wherein the risk
transfer from the risk exposure components (21 , 22, 23, ...) to the risk-pooling system ( 1 )
by means of the multidimensional risk transfer module is not only binomial but
multidirectional by scaling to the magnitude of the exposure.
8. Method for risk sharing of a variable number of risk exposure components
(21 , 22, 23, ...) by providing a self-sufficient risk protection for the risk exposure
components (21 , 22, 23, ...) by means of a resource-pooling system ( 1 ) , wherein risk
related components data are processed by means of at least a n assembly module
and the likelihood of said risk exposure for one or a plurality of the pooled risk exposure
components (21 , 22, 23, ...) is provided based o n the risk related components data,
characterized
in that the risk exposure components (21 , 22, 23, ...) are connected to the
resource-pooling system ( 1 ) by means of a plurality of payment receiving modules (2)
configured to receive and store payments from risk exposure components (21 , 22, 23,
...) for the pooling of their risks,
in that the total risk of the pooled risk exposure components (21 , 22, 23, ...)
comprises a first risk contribution (21 1) associated to risk exposure in relation to loan
losses, wherein the loan losses occur a s consequence to insolvency of risk exposure
components (21 , 22, 23, ...) owing to the occurrence of a risk event contributable to
the risk exposure,
in that the total risk of the pooled risk exposure components (21 , 22, 23, ...)
comprises a second risk contribution (212) associated to risk exposure based o n
emergency expenses, wherein the emergency expenses occur for risk exposure
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components (21 , 22, 23, ...) owing to the occurrence of a risk event contributable to
the risk exposure,
in that by means of a n indexing module the pooled risk is divided in a
parameterizable risk part ( 1 1) and a non-parameterizable risk part (21 ) , wherein the
parameterizable risk part ( 1 1) is transferred to a connected loss coverage system (3) by
means of multidirectional risk transfer module transferring risk factors (302) in exchange
of premium payment parameters (301 ) to achieve loss covering of the parameterizable
risk part ( 1 1) by means of the connected loss coverage system ( 1 ) ,
in that the non-parameterizable risk part (12) is directly covered by the
resource-pooling system ( 1 ) based on the received and stored payments from risk
exposure components, and
that in case of triggering a loss by means of a trigger module suffered loss is
covered by releasing associated loans and emergency expenses of the risk exposure
components (21 , 22, 23, ...) by transferring payments (2001 ) from the resource-pooling
system ( 1 ) to the risk exposure components (21 , 22, 23, ...) based o n the
parameterizable risk part ( 1 1) from the connected loss coverage system (3) and based
on the non-parameterizable risk part (12) from the received and stored payments from
risk exposure components (21 , 22, 23, ...).
9. The method according to claim 8, wherein the variable number of
pooled risk exposure components (21 , 22, 23, ...) are adaptable by the resourcepooling
system ( 1 ) to a range where not-covariant occurring risks covered by the
resource-pooling system ( 1 ) affect only a relatively small proportion of the totally
pooled risk exposure components (21 , 22, 23, ...) at a given time.
10. The method according to claim 8 or 9, wherein the system comprises a
payment receiving module (41 ) configured to receive and store a principal payment
from a n investor for a financial product linked to the resource-pooling system ( 1 ) and a
payment module (42) configured to determine a bonus payment for the investor and a
return interest payment for the investor when the pooled resources of the risk exposure
components (21 , 22, 23, ...) exceed a predefined threshold value due to a low
frequency of losses occurred.
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11. The method according to one of the claims 8 to 10, wherein the
parameterizable risk part ( 1 1) of the risk exposure covers a relatively large percentage
of the total risk exposure of the pooled risk exposure components in relation to the nonparameterizable
risk part (12).
12. The method according to claim 11, wherein the parameterizable risk
part ( 1 1) covers a range of 70% to 95% of the total pooled risk, while the nonparameterizable
risk part (12) covers a range of 30% to 5% of the total pooled risk.
13. The method according to one of the claims 8 to 12, wherein the
separation of the parameterizable and non-parameterizable parts are connected by
means of a seamless integration both in financial exposure and process.
14. The method according to one of the claims 8 to 13, wherein the risk
transfer from the risk exposure components (21 , 22, 23, ...) to the risk-pooling system ( 1 )
by means of the multidimensional risk transfer module is not only binomial but
multidirectional by scaling to the magnitude of the exposure.