Natural catastrophes a terrorist attacks (NCTA) can place enormous financial demands on the insur. industry (II), result in sharply higher prem. a substantially reduced coverage. There are mechanisms to increase the capacity of the II to manage these events. This report: (1) provides an overview of the II's current capacity to cover NCTA risks a discusses the impacts of the 2004 hurricanes; (2) analyzes the potential of catastrophe bonds -- a security issued by insurers a reinsur. a sold to instit'l. investors -- a tax-ded. reserves to enhance private-sector capacity; a (3) describes the approaches that 6 European countries have taken, incl. whether these countries permit insurers to use tax-deductible reserves for such events. Tables.States and Counties Have Strengthened Building Codes in Areas at Risk for Natural Catastrophes In 1994, in the wake of Hurricane Andrew, Miami-Dade and Broward counties enacted a revised South Florida Building Code to ensure thatanbsp;...
|Author||:||William B. Shear|
|Publisher||:||DIANE Publishing - 2005-08|