Insurance And Natural Disasters

Author : Richard J. Roth, Sr.,Howard Kunreuther
Publisher : Joseph Henry Press
Page : 319 pages
File Size : 43,5 Mb
Release : 1998-08-09
Category : Science
ISBN : 9780309063616

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Paying the Price by Richard J. Roth, Sr.,Howard Kunreuther Pdf

This book considers the effectiveness of insurance coverage for low-probability, high-consequence events such as natural disastersâ€"and how insurance programs can successfully be used with other policy tools, such as building codes and standards, to encourage effective loss reduction measures. The authors discuss the reasons for the dramatic increase in insured losses from natural disasters since 1989 and the concern that insurers have about their ability to provide coverage against more such events in the future. It addresses why there has been an increasing demand for hazards insurance, what types of coverage private insurers are willing to offer, and the role of reinsurance and private-/public-sector initiatives at the state and federal levels for providing protection to victims of natural disasters. Detailed case studies of the challenges facing Florida in the wake of Hurricane Andrew in 1992 and California following the Northridge earthquake in 1994 reveal the challenges facing the insurance industry as well as other concerned stakeholders. The National Flood Insurance Program illustrates how a public-/private-sector partnership can mitigate damages and provide financial protection to victims. The book identifies new initiatives for reducing future losses and providing funds for recovery through cooperation by the relevant parties.

Author : Australia. National Disaster Insurance Review,The Treasury
Publisher : Unknown
Page : 149 pages
File Size : 55,7 Mb
Release : 2011
Category : Disaster insurance
ISBN : 0642747393

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Natural Disaster Insurance Review by Australia. National Disaster Insurance Review,The Treasury Pdf

"Following the series of storms, floods and cyclones that affected many parts of Queensland and some parts of Victoria in late 2010 and early 2011, the Assistant Treasurer, the Hon Bill Shorten MP, announced on 4 March 2011 the Natural Disaster Insurance Review (the Review) ... It was the absence of flood insurance for many policyholders, particularly in Brisbane and Ipswich, that was the primary stimulus for the Review ... The fact that all home insurance policies cover storm damage including related water damage but many do not cover flood damage, which distinction is seen as arcane and artificial by many, led to a community backlash against insurers during 2011 and considerable distress, financial loss and disillusionment for many insured homeowners. Hence the theme of the Review, arising from the flood coverage problem and the full Terms of Reference of the Review, is the availability and affordability of insurance offered by the private insurance market, with particular reference to flood but also including other natural disasters."--Executive Summary.

Author : David Torregrosa
Publisher : DIANE Publishing
Page : 62 pages
File Size : 52,7 Mb
Release : 2002
Category : Disaster insurance
ISBN : 9781428960886

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Federal Reinsurance for Disasters by David Torregrosa Pdf

Author : Francis Ghesquiere
Publisher : World Bank Publications
Page : 26 pages
File Size : 49,5 Mb
Release : 2012
Category : Electronic
ISBN : 8210379456XXX

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Sovereign Natural Disaster Insurance for Developing Countries: A Paradigm Shift in Catastrophe Risk Financing by Francis Ghesquiere Pdf

Economic theory suggests that countries should ignore uncertainty for public investment and behave as if indifferent to risk because they can pool risks to a much greater extent than private investors can. This paper discusses the general economic theory in the case of developing countries. The analysis identifies several cases where the government's risk-neutral assumption does not hold, thus making rational the use of ex ante risk financing instruments, including sovereign insurance. The paper discusses the optimal level of sovereign insurance. It argues that, because sovereign insurance is usually more expensive than post-disaster financing, it should mainly cover immediate needs, while long-term expenditures should be financed through post-disaster financing (including ex post borrowing and tax increases). In other words, sovereign insurance should not aim at financing the long-term resource gap, but only the short-term liquidity need.

Author : United States. Congress. House. Committee on Banking, Finance, and Urban Affairs. Subcommittee on Consumer Credit and Insurance
Publisher : Unknown
Page : 532 pages
File Size : 52,6 Mb
Release : 1994
Category : Business & Economics
ISBN : STANFORD:36105015936300

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Insurance Availability in Communities at Risk of Natural Disaster by United States. Congress. House. Committee on Banking, Finance, and Urban Affairs. Subcommittee on Consumer Credit and Insurance Pdf

Author : Paula Jarzabkowski,Konstantinos Chalkias,Eugenia Cacciatori,Rebecca Bednarek
Publisher : Oxford University Press
Page : 177 pages
File Size : 50,9 Mb
Release : 2023-07-11
Category : Business & Economics
ISBN : 9780192688750

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Disaster Insurance Reimagined by Paula Jarzabkowski,Konstantinos Chalkias,Eugenia Cacciatori,Rebecca Bednarek Pdf

This is an open access title available under the terms of a CC BY-NC-ND 4.0 International licence. It is free to read at Oxford Academic and offered as a free PDF download from OUP and selected open access locations. This book examines the growing role and importance of 'Protection Gap Entities' (PGEs), not-for-profit entities providing insurance protection that would otherwise be unavailable within a purely private sector context. Around the world, PGEs and the insurance instruments they use are becoming increasingly crucial in making sure that funds are available to rebuild after disasters. These PGEs, typically developed as collaborations between governments and the insurance industry, enable insurance to continue at a time when climate change, urbanization, global interdependence, and geo-political instability are making disaster insurance increasingly expensive or unavailable. Given their growing importance, understanding the role of PGEs in both insurance protection and their potential to create a more resilient society is critical. Disaster Insurance Reimagined uses practical examples from different countries to explain how PGEs step in to maintain disaster insurance and how their work can, but does not always, improve financial and physical resilience to disaster. Drawing on 5 years of research into 17 entities that provide insurance cover in 49 countries, the authors examine the strengths, limitations, and evolution of PGEs in providing disaster protection in the face of a growing insurance crisis. They provide an accessible discussion of disaster insurance, its complexities, and the transformation it needs to undergo in order to remain relevant and to contribute to meaningful disaster protection. PGEs and their work offer a path to re-imagining disaster insurance as a key tool in an ecosystem that has societal protection from disaster at its heart.

Author : Eugene Gurenko,Rodney Lester
Publisher : World Bank Publications
Page : 35 pages
File Size : 50,5 Mb
Release : 2004
Category : Natural disasters
ISBN : 8210379456XXX

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Rapid Onset Natural Disasters by Eugene Gurenko,Rodney Lester Pdf

Gurenko and Lester provide a conceptual framework for designing a comprehensive risk management strategy for rapid onset natural disasters at the country level, with a particular emphasis on the role of catastrophe loss funding. The authors discuss the key policy and technical issues involved in building financially sustainable catastrophe risk transfer and funding programs in disaster prone countries and their links to risk mitigation. They also deal with the cognitive and political economy issues that are likely to arise and ways to accommodate them. This paper--a product of the Financial Sector Operations and Policy Department--is part of a larger effort in the department to develop modern risk management approaches at the country level.

Author : Aliona Cebotari,Karim Youssef
Publisher : Unknown
Page : 34 pages
File Size : 44,7 Mb
Release : 2020-01-17
Category : Electronic
ISBN : 1513525891

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Natural Disaster Insurance for Sovereigns: Issues, Challenges and Optimality by Aliona Cebotari,Karim Youssef Pdf

Natural disasters are a source of economic risks in many countries, especially in smaller and lower-income states, and ex-ante preparedness is needed to manage the risks. The paper discusses sovereign experience with disaster insurance as a key instrument to mitigate the risks; proposes ways to judge the adequacy of insurance; and considers ways to enhance its use by vulnerable countries. The paper especially aims to inform policy decisions on disaster insurance. Through simulations of natural disasters and various insurance options, we find that sovereign decisions on optimal risk transfer involve balancing trade-offs between growth and debt, based on government risk preferences and country risk exposure. The choice of optimal insurance for smaller countries turns out to be more constrained by cost considerations due to their higher exposure, likely resulting in underinsurance; donor grants could help them achieve a more optimal protection. We also find that optimal insurance packages are those that are least costly relative to expected payouts (i.e. have the lowest insurance multiple), which are also the packages that insure less severe (more frequent) disasters.

Author : Martin F. Grace,Robert W. Klein,Paul R. Kleindorfer,Michael R. Murray
Publisher : Springer Science & Business Media
Page : 150 pages
File Size : 44,7 Mb
Release : 2012-12-06
Category : Business & Economics
ISBN : 9781441992680

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Catastrophe Insurance by Martin F. Grace,Robert W. Klein,Paul R. Kleindorfer,Michael R. Murray Pdf

1. THE PROBLEM OF CATASTROPHE RISK The risk of large losses from natural disasters in the U.S. has significantly increased in recent years, straining private insurance markets and creating troublesome problems for disaster-prone areas. The threat of mega-catastrophes resulting from intense hurricanes or earthquakes striking major population centers has dramatically altered the insurance environment. Estimates of probable maximum losses (PMLs) to insurers from a mega catastrophe striking the U.S. range up to $100 billion depending on the location and intensity of the event (Applied Insurance Research, 2001).1 A severe disaster could have a significant financial impact on the industry (Cummins, Doherty, and Lo, 2002; Insurance Services Office, 1996a). Estimates of industry gross losses from the terrorist attack on September 11, 2001 range from $30 billion to $50 billion, and the attack's effect on insurance markets underscores the need to understand the dynamics of the supply of and the demand for insurance against extreme events, including natural disasters. Increased catastrophe risk poses difficult challenges for insurers, reinsurers, property owners and public officials (Kleindorfer and Kunreuther, 1999). The fundamental dilemma concerns insurers' ability to handle low-probability, high-consequence (LPHC) events, which generates a host of interrelated issues with respect to how the risk of such events are 1 These probable maximum loss (PML) estimates are based on a SOD-year "return" period.

Author : OECD
Publisher : OECD Publishing
Page : 424 pages
File Size : 53,7 Mb
Release : 2005-07-06
Category : Electronic
ISBN : 9789264009950

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Policy Issues in Insurance Catastrophic Risks and Insurance by OECD Pdf

These conference proceedings present academic analysis, country reports, and financial/insurance company assessments on how to handle losses caused by large-scale catastrophes including terrorism and atmospheric perils.

Author : Howard Kunreuther,Richard J. Roth
Publisher : Unknown
Page : 318 pages
File Size : 43,8 Mb
Release : 1998
Category : Disaster insurance
ISBN : OCLC:1090208179

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Paying the Price by Howard Kunreuther,Richard J. Roth Pdf

Author : Cornel Quinto
Publisher : Springer Science & Business Media
Page : 178 pages
File Size : 49,8 Mb
Release : 2011-10-22
Category : Law
ISBN : 9783642224355

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Insurance Systems in Times of Climate Change by Cornel Quinto Pdf

Natural disasters such as large-scale flooding are on the increase. Climate change directly affects our basis of existence. This includes residential buildings, and commercial and industrial properties. The author highlights the requirements that will have to be met by a protection system for buildings in the future. Insurance against natural hazards lies at the heart of such a system. The insurance systems of Germany, France, Spain, Switzerland and the USA are presented. The author explains what type of insurance system is best suited to meet the challenge of climate change. The starting point of the legal section is statutory insurance with a monopoly. The question of whether such insurance is compatible with Swiss and EU law is examined. Keywords in this respect are economic freedom, competition, services of general interest and universal service.

Author : Howard Kunreuther
Publisher : John Wiley & Sons
Page : 432 pages
File Size : 40,9 Mb
Release : 1978
Category : Business & Economics
ISBN : STANFORD:36105035730816

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Disaster Insurance Protection by Howard Kunreuther Pdf

Author : United States. Congress. House. Committee on Banking and Financial Services. Subcommittee on Housing and Community Opportunity
Publisher : Unknown
Page : 64 pages
File Size : 49,9 Mb
Release : 1999
Category : Disaster insurance
ISBN : STANFORD:36105062623181

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The Growing Threat of Natural Disasters and the Impact on Homeowners' Insurance Availability by United States. Congress. House. Committee on Banking and Financial Services. Subcommittee on Housing and Community Opportunity Pdf

Author : Philippe Auffret
Publisher : World Bank Publications
Page : 36 pages
File Size : 48,7 Mb
Release : 2003
Category : Casualty insurance
ISBN : 8210379456XXX

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Catastrophe Insurance Market in the Caribbean Region by Philippe Auffret Pdf

The Caribbean region suffers from a high degree of economic volatility. A history of repeated external and domestic shocks has made economic insecurity a major concern across the region. Of particular concern to all households, especially the poorest segments of the population, is the exposure to shocks that are generated by catastrophic events or natural disasters. The author develops a conceptual framework for risk management and shows that the insurance market for catastrophic risk in the Caribbean region remains a "thin" market characterized by "high" prices and "low" transfer of risk. He analyzes the possible market failures which could explain the lack of development of the catastrophe insurance market. Finally he outlines a set of recommendations for public sector interventions.