Non-Life Aviation Risk

Overview

Article 131 defines Non-Life Aviation Risk through the largest aircraft sum insured because aviation catastrophe exposure is driven by the most severe single-aircraft event.^[1]

Input Terms

• Aircraft: Identifier for each aircraft exposure considered under Article 131.^[1]
• Aircraft SI: Aircraft sum insured reflecting the hull and liability sums insured for the Article 131 aviation catastrophe basis.^[1]

Technical Rationale

Article 131 focuses on the largest aircraft sum insured because the prescribed aviation catastrophe event is a single-event concentration stress. The maximum-exposure basis prevents smaller aircraft exposures from diluting the capital requirement for the largest plausible aircraft loss.

Important Notes

• Gross vs. Net SCR: This calculator determines the standalone Non-Life Aviation Risk SCR. Solvency II risk is only finalized as a net impact on Basic Own Funds after diversification in Non-Life Risk, then within BSCR, and after the top-level LAC TP and LAC DT adjustments.
• Regulatory deviation: Material deviation from standard-formula assumptions at this layer may support a capital add-on or a move toward an internal model where justified.^[2]
• Reporting: The displayed result is intended to support the corresponding standard-formula component for the S.25.01.01 standard-formula reporting view.^[3]