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TEST: Initialize CAS test cases.
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genedan committed Sep 24, 2023
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"""
Clark, "Basics of Reinsurance Pricing," explains the concept of loss sensitive features for working layer
excess treaties. One type of loss sensitive program is the "swing plan" retrospective rating program. Suppose a swing
plan works as follows:
- Retro Premium = (Actual Layer Losses) x 1.25
- Provisional Rate = 20% of Subject Premium
- Maximum Premium = 30% of Subject Premium
- Minimum Premium = 15% of Subject Premium
- Subject Premium = $20,000,000
You are given the following distribution of losses:
|Probability|Expected Layer Losses|
===================================
20% | $1,000,000 |
45% | $4,000,000 |
35% | $7,000,000 |
====================================
"""

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