Insurance Definition: SECURITIZATION OF INSURANCE RISK
By Compuquotes Team on March 27th, 2008
SECURITIZATION OF INSURANCE RISK:
Definition:
- Using the capital markets to expand and diversify the assumption of insurance risk. The issuance of bonds or notes to third-party investors directly or indirectly by an insurance or reinsurance company or a pooling entity as a means of raising money to cover risks. (See Catastrophe bonds)
Information provided by Insurance Information Institute
