1. The capital requirement for windstorm risk shall be equal to the following:

where:

(a) the sum includes all possible combinations (r,s) of the regions set out in Annex V;

(b) CorrWS_(r,s) denotes the correlation coefficient for windstorm risk for region r and region s as set out in Annex V;

(c) SCR_{(windstorm,r)} and SCR_{(windstorm,s)} denote the capital requirements for windstorm risk in region r and s respectively;

(d) SCR_{(windstorm,other)} denotes the capital requirement for windstorm risk in regions other than those set out in Annex XIII.

2. For all regions set out in Annex V the capital requirement for windstorm risk in a particular region r shall be the larger of the following two capital requirements:

(a) the capital requirement for windstorm risk in region r according to scenario A as set out in paragraph 3;

(b) the capital requirement for windstorm risk in region r according to scenario B as set out in paragraph 4.