# Share papers

**URL:** <https://community.goactuary.com/t/share-papers/7176>\
**Category:** Property/Casualty\
**Created:** [January 21, 2023, 2:28pm UTC](https://community.goactuary.com/t/share-papers/7176 "2023-01-21T14:28:55Z")\
**Posts on this page:** 3\
**Page:** 1

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**Author:** ![colonelsmoothie](https://community.goactuary.com/user_avatar/community.goactuary.com/colonelsmoothie/32/136_2.png) [@colonelsmoothie](https://community.goactuary.com/u/colonelsmoothie)\
**Post date:** [January 21, 2023, 2:28pm UTC](https://community.goactuary.com/t/share-papers/7176/1 "2023-01-21T14:28:55Z")

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Are there any papers out there for optimizing what share an insurer should take on either a commercial policy or reinsurance treaty? Like the scenario would be, “The insurer only wants to take a %x share.” How is the share determined? Is that all just judgment based or is there something more algorithmic?

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**Author:** ![jerrytuttle](https://community.goactuary.com/user_avatar/community.goactuary.com/jerrytuttle/32/759_2.png) [@jerrytuttle](https://community.goactuary.com/u/jerrytuttle)\
**Post date:** [January 21, 2023, 6:14pm UTC](https://community.goactuary.com/t/share-papers/7176/2 "2023-01-21T18:14:25Z")

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I don’t know about a paper. But I would think about this in terms of something like the following: The expected loss is X, but I want the probability of paying as much as Y to be probability p, and in no circumstances would I want to pay more than Z.

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**Author:** ![CuriousGeorge](https://community.goactuary.com/user_avatar/community.goactuary.com/curiousgeorge/32/28457_2.png) [@CuriousGeorge](https://community.goactuary.com/u/CuriousGeorge)\
**Post date:** [January 22, 2023, 12:24am UTC](https://community.goactuary.com/t/share-papers/7176/3 "2023-01-22T00:24:39Z")

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There’s related Exam 9 stuff on this.

But really it comes down to what you are trying to get out of reinsurance. Sometimes it’s locking in profit, sometimes it’s limiting per-property exposure, sometimes it’s eliminating catastrophic loss exposure. The cost of the reinsurance will come into play, too.

There are certainly metrics to be considered, like what a 1-100 year event looks like under different scenarios, or what the exposure does to your RBC.