VoseAggregateDeduct

See also: Vose Aggregate Monte Carlo window

=VoseAggregateDeduct(N,Cost Distribution, Deductible, MaxLimit)

 

 

 

Directly simulates the sum of N variables from the Cost Distribution where the cost distribution can be optionally modified with a deductible or maximum payout limit. N can be a fixed integer or come from a discrete distribution itself.

  • N - the number of variables to sum. Can be either an integer number or a value simulated from a discrete distribution (e.g. VosePoisson(50)).

  • Cost Distribution - a non-negative distribution object.

  • Deductible - (optional) the deductible.

  • MaxLimit - (optional) the maximum payout limit.

The use of the deductible means that the insurance company does not pay out first x of the damage described by the cost distribution. To account for the deductible the cost distribution is truncated and shifted to the right. When a value below the deductible occurs it is simulated as a cost of zero.

The optional Maxlimit parameter allows one to restrict the claim size that an insurance company pays out to no more than MaxLimit. So when a payout higher then MaxLimit occurs it will be simulated as MaxLimit.

 

ModelRisk

Monte Carlo simulation in Excel. Learn more

Tamara

Adding risk and uncertainty to your project schedule. Learn more

Navigation

FREE MONTE CARLO SIMULATION SOFTWARE

For Microsoft Excel

Download your free copy of ModelRisk Basic today. Professional quality risk modeling software and no catches

Download ModelRisk Basic now

FREE PROJECT RISK SOFTWARE

For Primavera & Microsoft Project

Download your free copy of Tamara Basic today. Professional quality project risk software and no catches.

Download Tamara Basic now
-->