Täysmittausarvo

Täysmittausarvo, often abbreviated as TMA, is a financial metric used in the context of insurance and reinsurance. It represents the maximum amount of insurance or reinsurance that can be issued or retained, based on the financial strength and risk appetite of the insurer or reinsurer. The concept is crucial for managing risk and ensuring the stability of the insurance market.

The TMA is determined by several factors, including the insurer's or reinsurer's financial position, the type and severity of risks they are exposed to, and their risk management strategies. It is a dynamic figure that can change over time as the insurer's financial situation and risk profile evolve. Regular assessments and updates of the TMA are essential to maintain an accurate reflection of the insurer's or reinsurer's risk-bearing capacity.

The TMA is not a static limit but rather a guideline that helps insurers and reinsurers make informed decisions about their risk exposure. It ensures that the insurance market operates in a stable and sustainable manner, protecting both insurers and policyholders from excessive risks.

In practice, the TMA is used to set limits on the amount of insurance that can be issued, to determine the appropriate level of reinsurance, and to guide risk management strategies. It is a key tool in the risk management toolkit of insurers and reinsurers, promoting transparency and stability in the insurance industry.