CLEARVIEWTM RISK ANALYSIS
Each senior life settlement we purchase undergoes rigorous scrutiny for underwriting accuracy and premium optimization opportunities. Then, it receives two independent life expectancy estimates.
This is where other leading life settlement companies stop. We go beyond this industry "gold standard" and profile each policy using ClearViewTM, our proprietary risk assessment tool.
ClearView is a radical new two-step protocol for looking at senior life settlement risk.
- Step One. Using the most recent mortality data, we evaluate the "fat tails" using student-t distributions, Copula-based dependence and Monte Carlo modeling with GARCH. These advanced metrics allow us to see the non-conforming risks that are invisible using only the standard deviation methods employed by the rest of the industry.
- Step Two. In addition to the application of advanced mathematics, ClearView assesses the impact of policy origination variables on the estimated life expectancy of the insured. Mortality tables, clinical assessments and lifestyle profiles alone cannot detect bias in the policy's origination. That bias can have a substantial impact on the estimated life expectancy of an insured.
While all other life settlement players are content to go along with the life insurance industry's "laws of large numbers," we are the only company in the world using policy origination data to enhance senior life settlement risk assessments. It allows us to price life settlement assets far more accurately, and deliver substantially more value to our investors and clients.
ClearView. A fresh perspective on life settlement value.