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isleconfig.py
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isleconfig.py
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use_abce = False
oneriskmodel = False
replicating = False
force_foreground = False
verbose = False
showprogress = False
show_network = False # Should network be visualized? This should be False by default, to be overridden by commandline arguments
slim_log = True # Should logs be small in ensemble runs (only aggregated level data)?
simulation_parameters={"no_categories": 4,
"no_insurancefirms": 20,
"no_reinsurancefirms": 4,
"no_riskmodels": 2,
"riskmodel_inaccuracy_parameter": 2, # values >=1; inaccuracy higher with higher values
"riskmodel_margin_of_safety": 2, # values >=1; factor of additional liquidity beyond value at risk
"margin_increase": 0, # This parameter modifies the margin of safety depending on the number of risks models available in the market. When is 0 all risk models have the same margin of safety.
"value_at_risk_tail_probability": 0.005, # values <1, >0, usually close to 0; tail probability at which the value at risk is taken by the risk models
"norm_profit_markup": 0.15,
"rein_norm_profit_markup": 0.15,
"dividend_share_of_profits": 0.4,
"mean_contract_runtime": 12,
"contract_runtime_halfspread": 2,
"default_contract_payment_period": 3,
"max_time": 1000,
"money_supply": 2000000000,
"event_time_mean_separation": 100 / 3.,
"expire_immediately": False,
"risk_factors_present": False,
"risk_factor_lower_bound": 0.4,
"risk_factor_upper_bound": 0.6,
"initial_acceptance_threshold": 0.5,
"acceptance_threshold_friction": 0.9,
"insurance_firm_market_entry_probability": 0.3, #0.02,
"reinsurance_firm_market_entry_probability": 0.05, #0.004,
"simulation_reinsurance_type": 'non-proportional',
"default_non-proportional_reinsurance_deductible": 0.3,
"default_non-proportional_reinsurance_excess": 1.0,
"default_non-proportional_reinsurance_premium_share": 0.3,
"static_non-proportional_reinsurance_levels": False,
"catbonds_off": True,
"reinsurance_off": False,
"capacity_target_decrement_threshold": 1.8,
"capacity_target_increment_threshold": 1.2,
"capacity_target_decrement_factor": 24/25.,
"capacity_target_increment_factor": 25/24.,
# Retention parameters
"insurance_retention": 0.85, # Ratio of insurance contracts retained every iteration.
"reinsurance_retention": 1, # Ratio of reinsurance contracts retained every iteration.
#Premium sensitivity parameters
"premium_sensitivity": 5, # This parameter represents how sensitive is the variation of the insurance premium with respect of the capital of the market. Higher means more sensitive.
"reinpremium_sensitivity": 6, # This parameter represents how sensitive is the variation of the reinsurance premium with respect of the capital of the market. Higher means more sensitive.
#Balanced portfolio parameters
"insurers_balance_ratio": 0.1, # This ratio represents how low we want to keep the standard deviation of the cash reserved below the mean for insurers. Lower means more balanced.
"reinsurers_balance_ratio": 20, # This ratio represents how low we want to keep the standard deviation of the cash reserved below the mean for reinsurers. Lower means more balanced. (Deactivated for the moment)
"insurers_recursion_limit": 50, # Intensity of the recursion algorithm to balance the portfolio of risks for insurers.
"reinsurers_recursion_limit": 10, # Intensity of the recursion algorithm to balance the portfolio of risks for reinsurers.
#Market permanency parameters
"market_permanency_off": False, # This parameter activates (deactivates) the following market permanency constraints.
"cash_permanency_limit": 100, # This parameter enforces the limit under which the firms leave the market because they cannot underwrite anything.
"insurance_permanency_contracts_limit": 4, # If insurers stay for too long under this limit of contracts they deccide to leave the market.
"insurance_permanency_ratio_limit": 0.6, # If insurers stay for too long under this limit they deccide to leave the market because they have too much capital.
"insurance_permanency_time_constraint": 24, # This parameter defines the period that the insurers wait if they have few capital or few contract before leaving the market.
"reinsurance_permanency_contracts_limit": 2, # If reinsurers stay for too long under this limit of contracts they deccide to leave the market.
"reinsurance_permanency_ratio_limit": 0.8, # If reinsurers stay for too long under this limit they deccide to leave the market because they have too much capital.
"reinsurance_permanency_time_constraint": 48, # This parameter defines the period that the reinsurers wait if they have few capital or few contract before leaving the market.
#Insurance and Reinsurance deductibles
"insurance_reinsurance_levels_lower_bound": 0.25,
"insurance_reinsurance_levels_upper_bound": 0.30,
"reinsurance_reinsurance_levels_lower_bound": 0.5,
"reinsurance_reinsurance_levels_upper_bound": 0.95,
"initial_agent_cash": 80000,
"initial_reinagent_cash": 2000000,
"interest_rate": 0.001,
"reinsurance_limit": 0.1,
"upper_price_limit": 1.2,
"lower_price_limit": 0.85,
"no_risks": 20000}