The Study Of Earthquake Insurance Financial Strategy For Compensation

Earthquake is one of main natural disasters in China. With the rapid economic and social wealth development, earthquake has caused more and more huge losses to economic society and people in our country. For a long time, China has been using a government-led and post-disaster emergency relief mode, the main compensation is limited to the financial relief, social donations and the limited insurance payments, lacking of innovative financial means. With the gradual maturity of insurance market and the rapid development of financial industry in China, this paper tries to explore a new financing channel for earthquake losses with financial perspective, proposeding to establish the earthquake catastrophe insurance funds as the core of the earthquake insurance compensation mechanism, and on this basis, through the establishment of earthquake catastrophe insurance bonds, dispersing earthquake risks to capital market. It hopes to attract more capital from the insurance market, capital market, government and other social participations, and relying on the insurance market, government support, diverse social forces involved, construct earthquake insurance losses compensation system to reduce earthquake losses impact on our economy.Firstly, this article theoretically analyzes the compensation means of earthquake insurance losses. Earthquake risks of losses can not fully be dispersed in the commercial insurance fields, this chapter analyzes from the market compensation and government compensation, and obtains the idea choice that is to establish the earthquake catastrophe insurance funds with government support in financial perspective. Secondly, this article analyzes California, Japan, New Zealand and China Taiwan four countries'or regions'modes of earthquake insurance compensation, including compensation structures, loss-sharing rules and the advantages and disadvantages. Through comparative analysis, this chapter summarizes the common and characteristics of earthquake insurance compensation, and draws on our enlightenment about earthquake insurance financial strategies for compensation. Finally, based on national conditions and drawing on the international experiences , this article analyzes the mode of earthquake catastrophe insurance funds, including the financing sources, organizational structure, loss-sharing rules and policy suggestion, and on this basis, proposeds the establishment of earthquake catastrophe insurance bonds and some of the ideas.