Multi-cat bonds can meet ECIS demand
The human cost of natural disasters is measured not just in the deaths and injuries they cause, but also in terms of their lasting economic impact on survivors and countries. Natural disasters don’t just destroy homes and fields; they can altogether annihilate years of economic growth.
This is even more important for developing countries and regions, where insurance has not yet developed into a reliable help on the macro level. For example, during the period of 2005–2014, the region of Eastern Europe and the Commonwealth of Independent States (ECIS) faced 314 disasters, resulting in more than 60,000 people being killed and 11 million people affected, with more than $25 billion worth of damage.
The region of the Balkans, Caucasus and Central Asia has always been exposed to a big earthquake threat, and this has now, due to climate change, been joined by a huge flood exposure, whereby extreme weather events are fast becoming normal in the Balkans. Some of the events that have hit the region are:
