Prudential Regulation Authority Rulebook

1.

The man-made catastrophe risk sub-module must consist of all of the following sub-modules:

1. (1) the motor vehicle liability risk sub-module;
2. (2) the marine risk sub-module;
3. (3) the aviation risk sub-module;
4. (4) the fire risk sub-module;
5. (5) the liability risk sub-module; and
6. (6) the credit and suretyship risk sub-module.

2.

A firm must calculate the capital requirement for the man-made catastrophe risk in accordance with the following formula:

$${SCR}_{mmCAT}=\sqrt{\sum _i{SCR}_i^2}$$

where:

1. (1) the sum includes all sub-modules set out in 3A17.1; and
2. (2) SCR_i denotes the capital requirements for sub-module i.