business

A catastrophe reinsurance swap is a special type of financial agreement. Two groups or companies sign a contract. This contract has a couple main parts that are important. Triggering event The contract will say that a “triggering event” has to happen first. This triggering event is usually some really bad thing. It could be a…

Catastrophe Per Occurrence Excess of Loss (Cat XOL) is a type of reinsurance. Reinsurance is insurance for insurance companies. It protects them from really big losses. With Cat XOL reinsurance, the insurance company is protected if a whole bunch of bad stuff happens all at once from the same event, like a hurricane or earthquake….

Marketing mix models are an old way to figure out how marketing stuff like ads and promos affect sales. They use statistics to look at sales data and marketing data over a long time. Then they try to find patterns that show how the marketing caused the sales. These models have been used by big…

Marketing mix models (MMMs for short) are a way for companies to figure out how their marketing affects their sales. They look at how much a company spends on different kinds of ads, like TV commercials, online ads, billboards and stuff like that. Then they use math to see which types of marketing make people…

Catastrophe bonds are a special type of bond. They are used to transfer the risk of big natural disasters from insurance companies to investors. These bonds pay money to investors. But if a certain disaster happens, the investors may not get all their money back. It depends on how bad the disaster is. Insurance companies…

Marketing mix models look at all the stuff an advertiser does to promote their brand. They help figure out which parts of a marketing plan are worth the money and which aren’t so great. Things like TV commercials, online ads, radio spots, billboards – marketing models look at all of it. These models crunch tons…

Cash settlement is a way for people to finish deals without having to actually give each other stuff. Instead of handing over things like corn, gold, or stocks, they just give each other money. The amount of money matches what the stuff is worth. Why Do People Use Cash Settlement? People like to use cash…

The cash ratio is the amount of cash a bank keeps in its vaults compared to all the money it has. You can think of it like a big piggy bank. Banks take the money people deposit and use some of it to make loans and investments to earn profits. But they always have to…

Cash flow underwriting represents an insurance pricing strategy where companies deliberately set premium rates below expected loss levels. Insurance companies use this approach to attract more customers and generate substantial premium income, which they then invest to make up for the intentional underpricing and create profits. Understanding Insurance Basics Traditional insurance works through companies collecting…

A cash flow cycle represents the journey money takes through a business. It measures how long it takes for money spent on materials to come back as cash from sales. This cycle happens when companies buy materials, make products, and sell them to customers. The time between spending money and getting it back matters a…