Cat bonds gain prominence in reinsurance market

Posted On: Jan. 18, 2021 9:42 AM CST

U.S.-based Fitch Ratings Inc. believes that catastrophe bonds gained importance in 2020 due to their increased use as a reinsurance or retrocession risk transfer tool, Artemis reported. Increased investment in insurance-linked securities products helped cat bonds gain more importance over collateralized reinsurance programs.