Some Aspects on Reinsurance Profits and Loadings

In a note on the security loading of excess loss rates I am deducing a simple formula intended to replace some tedious calculations. In the beginning of that note I made the point that some authors recommend a loading proportional to the dispersion of the total claims amount of a treaty 81 while others tend to favor 812. I also stated that a loading proportional to 81 or its estimate 81 could be deduced from the statistical uncertainty in measuring the risk (section 4).