Probable Maximum Loss Estimator Calculator

Estimate Probable Maximum Loss (PML) for fire insurance based on building and protection characteristics.

Input Parameters

Results

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Probable Maximum Loss
USD
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PML Percentage
%
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Normal Loss Expectancy
USD
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Maximum Foreseeable Loss
USD
Note: PML assumes impairment of the single most important protection system. NLE (Normal Loss Expectancy) assumes all systems work. MFL (Maximum Foreseeable Loss) assumes all protection is impaired. Based on FM Global and ISO commercial fire rating concepts.

Reference

Probable Maximum Loss (FM Global methodology): PML = Total Value * Area Ratio * (Protection Factor + 0.15) Area Ratio = Fire Area / Total Area NLE = Total Value * Area Ratio * Protection * 0.5 (all systems working) MFL = Total Value * Area Ratio * 1.1 (all systems impaired) Ref: FM Global Property Loss Prevention Data Sheets