Exchange-traded weather insurance products set for launch in India

Once again the discussion of exchange-traded weather risk management products for Indian farms, companies and insurers has come to the fore, but this time the plan is for a product to be launched after September of this year. The National Commodity and Derivatives Exchange (NCDEX) of India has been developing weather-index read the full article →

India to allow commodity options; opens the door for weather derivatives

India's government cabinet have today approved changes to the laws which allow commodity trading in the country. The laws have been in place and allowed trading of commodity futures since 2003. The new change to the law will allow commodity options to be traded on exchanges within the country. This long read the full article →

HURLOs want to bring hurricane hedging to everyone

Remember HURLOs? Hurricane Risk Landfall Options? They were launched in October 2008 by Weather Risk Solutions, LLC (WRS) and promised a mutualized marketplace for hurricane options (our previous coverage here and here). To date they've been dabbled with by investment professionals but we haven't heard a great deal more until read the full article →

CME bullish on snowfall derivatives

Snowfall has certainly been a feature of the northern hemispheres winter months this year. The UK suffered much colder temperatures than normal and snowfall which remained on the ground for many days causing much disruption to transport, travel and businesses. The U.S. has suffered huge snowfalls in the northeast which read the full article →

HuRLOs relaunch for the 2009 hurricane season; provide new hedging platform

Today saw the relaunch of the much anticipated Hurricane Risk Landfall Options (HuRLOTM) from Weather Risk Solutions, LLC. We wrote about HuRLOs when they launched as a pilot back in October 2008 with much anticipation of the full launch as they offer an easily accessible method to hedge against landfalling read the full article →

CME group acquires Carvill Hurricane Index, changes name to CME Hurricane Index

The CME Group has announced that they have acquired the Carvill Hurricane Index and changed it's name to the CME Hurricane Index. This makes total sense as the hurricane futures and options contracts are all traded and settled on the CME. In addition the CME have brought EQECAT on board read the full article →

First ‘2nd event’ hurricane option contract clears on the CME

The Chicago Mercantile Exchange recently launched 2nd event Florida and Gulf Coast hurricane option contracts to the trading community. Already, Tradition have announced through a press release that the market is open for business as their U.S. reinsurance division Tradition Re have brokered the first deal on these new 2nd read the full article →

CME Group Hurricane Contracts Get an Early Start

Chicago, Wednesday January 21st 2009 - The 2009 hurricane season is already underway in the financial marketplace as CME Group announced trading activity on the first day of opening the 2009 contracts. This starts the season nearly five months ahead of the 2008 season. According to CME Group, 3000 Seasonal read the full article →

Final loss estimate for Hurricane Ike to be a waiting game

It's become apparent that reinsurers are going to have to wait until December to get a final loss estimate from the ISO's Property Claims Services unit. This won't please those waiting to here whether any instruments such as catastrophe futures, options or bonds have been triggered. The magnitude of losses is read the full article →

World Bank and Malawi in weather risk management deal

The World Bank has announced that it has completed a weather risk contract transaction with Malawi. It's the first such deal with Malawi and the first time that a member of the International Development Association has been able to access weather risk management instruments through the World Bank. The UK read the full article →