Every answer and its explanation appears here once you have finished the path. Each one then links to the matching glossary entry, where the concept is set out in full with its worked example.
1. On April 8, a faulty configuration update at the host causes a nine-hour outage, with no intrusion. What does the older generation of wording produce, the one opening contingent business interruption only on a security failure?
Nothing at all, whatever the outage's duration
The triggering condition is not met, and a missing condition is not half met: there is no reduced indemnity, there is no indemnity. Duration does not even enter the discussion, since it arises only once the cover is open. The answer treating the cause as irrelevant describes exactly the other generation, the recent one, which opens on any unavailability: it is that confusion between two generations in one book which the case is built to reveal, and it is all the easier to commit because both clauses carry the same name.
Glossary entry · carence-fournisseur2. Still on April 8, within the recent generation: two hundred policies carry a twelve-hour waiting period, one hundred an eight-hour one. The outage lasts nine hours. What is seen?
Nothing for the two hundred, which do not cross their threshold, and one hour of interruption beyond the threshold for the one hundred
The book's largest outage produces a near-zero loss, and that is the result the module wants you to feel. The waiting period is a threshold before it is a deductible: below it nothing opens, so there is nothing to prorate. Above it, only the excess counts, here one hour. The proportional answer is that of someone who read the period as a monetary deductible. The answer seeing nothing at all forgets that nine hours does cross the eight-hour threshold, which is a misreading of a single figure and yet costs the whole reasoning.
Glossary entry · franchise-temporelle3. On October 15, ransomware at the same host causes a thirty-hour interruption. What changes compared with April 8?
Thirty hours crosses both thresholds and ransomware is a security failure: both generations respond and all three hundred insureds produce
Two conditions change at once, cause and duration, and both are needed: it is the crossing that produces the indemnity, never either one alone. The cedant's model nonetheless holds the same loss on both dates, and it is wrong in both cases, in opposite directions. That is exactly what prevents anyone from fixing it: the two errors offset in the annual average and surface only on the day one of them actually happens. The proportional answer misses the step: between nine and thirty hours, what changes is not magnitude, it is the number of policies whose cover opens.
Glossary entry · spof-accumulation-cyber4. The module says the competent professional's error was building the aggregation on dependency to the provider. What should have been crossed?
Dependency, which is a fact about the world, and the generation of wording, which is a fact about the book
Dependency says who is exposed, wording says who is covered, and only the crossing of the two produces an indemnity. It is a distinction of kind and not merely of data: the first is collected from insureds, the second from contracts, and nothing requires both collections to exist in the same team. The other three crossings involve real data, useful elsewhere, market concentration, loss history, security posture. None of them says whether the cover opens, which is the only question an aggregation study has to settle.
Glossary entry · accumulation-cumul5. The module flags a cost the model sees in neither scenario. Which one?
Handling the three hundred notifications, real and immediate, including on April 8 where almost none will succeed
On the day of a large outage every exposed insured notifies, including those whose cover will never open, because none of them knows their own contract's generation of wording. Handling those files costs handling hours and sometimes adjusting fees, immediately, and that expense is covered by nobody. An aggregation modelling only indemnities leaves it entirely out of the calculation, and the gap is widest precisely on the day the indemnity is nil. The other costs proposed are real but deferred and modellable; this one is immediate and invisible, which is another category altogether.
Glossary entry · perte-exploitation