Catastrophe Insurance Securitization

There is a well-known saying in America :"securitize your dream."Aimed against the changes of international insurance industry, through the analysis of the characters and the enlarging trend of the catastrophe risk, this paper preliminarily considers on the securitization of catastrophe insurance both in theory and practices ,on the basis of the discuss of the existing limitations of the traditional reinsurance towards the risk-scatter of the catastrophe insurance, using the international idea of the advanced insurance innovation and risk property-manage for reference.The Insurance securitization in 1990s followings after the banking securitization in 1980s, will impose great influence on the development of the instance industry, even the whole financial industry. The direct result of the insurance securitization is that a great quantity of capital can be attracted to flow into the insurance market, which will offer the investors the new, risk-separate investing channel and play an enormous role in improving the capital constitution of the financial industry and promoting the effective flow of the capital combined with the new changes of the calamity risk in the insurance industry both catastrophe internal and international, it is more important to securitize the insurance of the catastrophe risk.The preface of this paper introduce the increasing new risks which provides the playground to catastrophe insurance securitization .Chapter 1 describes the development and theoretical resource of catastrophe insurance securitization .Chapter 2 states the increasing catastrophe risks and the challenges to traditional reinsurance ,as well as the effects that produced by catastrophe insurance securitization. Chapter 3, the main part of this paper,mainly discusses the several insurance derivatives. The main part discusses the several insurance derivatives produced by the securitization of catastrophe insurance: and etc, including the constructures operation advantages and disadvantages and the key factors of the dealing success.The ending part preliminarily considers on the apply of the securitization of catastrophe insurance in our country combined with the practice in our country. After describing the significance and analyzing the advantages and disadvantages of catastrophe insurance securitization in our country,this paper gives the correspondent advices in terms of the market environment,technology-support system and the supply of systems.The last section provides the preliminary blueprint and design of the development of catastrophe insurance securitization step by step.