Catastrophe Bundles

Abstract

The property/casualty insurance industry has experienced record catastrophe claims over the last several years. ln the United States alone, there were the 1988 Midwest drought, the 1993 Midwest floods, the 1995 flooding along the California coast. Hurricanes Andrew (1992) and Opal (1995). and the Northridge, Calif. earthquake (1994), to name a few. Since 1989, the 10 most costly catastrophes in the world amounted to more than $43 billion.