Private Risk Transfer Markets as Catastrophe Risk Stakeholders

Abstract eng:
Insurance companies have a direct interest in mitigating earthquake losses, but the economics of insurance cannot provide sufficient financial incentives for building owners to make significant changes in their property. The greatest need for mitigation is in the emerging markets. Insurers see growth opportunities in these markets so are interested in increasing their presence. The use of private insurance capital by emerging market countries itself provides disaster mitigation by securing the economic growth that makes countries more resilient. Mitigation activities by insurers as they increase their penetration into emerging markets could also extend to involvement in partnership with government to improve building stock quality, particularly in the new vernacular of RC MRF multi-storey construction. Insurance companies can partner with governments, particularly for information provision and education that improves risk perception and decisions. Ultimately risk management metrics of the type used by insurance companies, such as ‘PML’s could provide guidance to authorities in prioritizing and managing the earthquake mitigation process.

• Export as: BibTeX | MARC | MARCXML | DC | EndNote | NLM | RefWorks
• Add to your basket