cat in a box

Verisk Insurance Solutions is working on enhancing the traditional parametric cat-in-a-box structure, aiming to minimise basis risk and expand its capabilities, which in turn could create opportunities for the reinsurance and insurance-linked securities (ILS) markets to deploy more capacity.

Risk modelling firm RMS has launched a new cloud-based application that enables all insurance, reinsurance or insurance-linked securities (ILS) markets to model, create and price parametric risk transfer cat-in-a-box contracts.

A first of its kind Israel earthquake parametric reinsurance transaction has been brought to market successfully by reinsurance firm Munich Re and capital markets reinsurance broker arm Aon Benfield Securities for Israeli insurer I.D.I.