保险风险证券化外文翻译.doc

外文题目： Insurance Risk Securitization 出 处： Journal of Structured Finance 作 者： Wattman Malcolm P. Jones 原 文： Insurance Risk Securitization MALCOLM P. WATTMAN AND KIMBERLY JONES MALCOLM P. WATTMAN is partner of Cidvvalader, Wickersham & Taft LLP in New York, NY. malcolni.wattman@cwt.coni KIMBERLY JONE S is an a.ssociato at Cadwalader, Wikersham & Taft LLP in New York, NY. kimberly.jones@ Each year, toward the beginning of the summer months, many insurance and reinsurance companies watch the weather in the Gulf Coast with anxious eyes and baited breath for signs of potential mega storms that could make landfall in the United States and cause catastrophic prop- erty damage. The focus of these companies remains intent throughout the hurricane season because, though rare, catastrophic events like Hurricane Andrew and Hurricane Katrina can result in mega property insurance claims that can wipe out a fledgling insurance or reinsurance company and shake up the balance sheets of the stronger ones. Insurers and reinsurers employ various methods of reducing their exposure to potential losses from catastrophic events, including ceding risks to reinsurers. However, the scarcity of reinsurance industry capacity and appetite for certain risks has resulted in insurance companies and others seeking capital markets solutions to obtain needed reinsurance or insurance capacity. One of the most popular, and perhaps one of the most efficient, capital markets tools is the securitization of catastrophic risk through the issuance of risk-linked securities, also known as catastrophe or "cat" bonds. Unlike more well-known securitizations of cash flows, cat-astrophe bonds are effectively securitizations of insurance liabilities. They are characterized by their key feature—one or more catastrophic events to which the bonds are exposed can result in a partial or complete loss of principal and interest