Lloyd’s maintains a set of mandatory Realistic Disaster Scenarios (RDS) to stress test both individual syndicates and the market as a whole. The event scenarios are regularly reviewed to ensure they represent material catastrophe risks.

2017 scenario specification

There are three sets of Realistic Disaster Scenarios. First are the compulsory scenarios, for which all syndicates report estimated losses to Lloyd’s; these represent events to which most of the market would potentially be exposed, and for which Lloyd's monitors the total of all syndicate losses. There is a set of more specialist scenarios, which need only be reported if estimated losses exceed a threshold. Finally, there are two events which syndicates must define for themselves as representing material potential losses not captured in other scenarios.

    • Two consecutive Atlantic seaboard windstorms
    • Florida windstorm
    • Gulf of Mexico windstorm
    • European windstorm
    • Japanese windstorm
    • California earthquake
    • New Madrid earthquake
    • Japanese earthquake
    • UK flood
    • Terrorism
    • Marine event
    • Loss of major complex
    • Aviation collision
    • Satellite risks
    • Liability risks
    • Political risks
    • Cyber
    • Two syndicate-defined Realistic Disaster Scenarios

Downloads

RDS scenario specification 2016  pdf file
RDS Scenario Specification 2017

Our required set of scenarios to help test the effect of catastrophes on insurance markets

RDS scenario specification 2016  pdf file
RDS Scenario Specification 2016

Our required set of scenarios to help test the effect of catastrophes on insurance markets

RDS scenario specification 2015  pdf file
RDS Scenario Specification 2015

Our required set of scenarios to help test the effect of catastrophes on insurance markets

See Also

Risk code mappings