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Reinsurance – an efficient solution of catastrophe risk transfer for the housing stock of Romania

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  • Nicoleta RADU

    (University of Economic Studies, Bucharest, Romania)

Abstract

As economic losses caused by natural disasters substantially increase in volume, impacting national economies, post-disaster reconstruction financing becomes crucial, especially for countries with fragile economies. The growing gap between economic and insured losses calls for a pragmatic approach related to financial protection solutions. Romania is one of the few countries that adopted a solution to cut down this deficit of protection in the case of the residential system. This system considers reinsurance as a sustainable risk transfer method, meant to quickly and efficiently attract the funds required to rebuild the housing stock in the event of a disaster.

Suggested Citation

  • Nicoleta RADU, 2022. "Reinsurance – an efficient solution of catastrophe risk transfer for the housing stock of Romania," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 0(2(631), S), pages 139-150, Summer.
    • Handle: RePEc:agr:journl:v:2(631):y:2022:i:2(631):p:139-150
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    References listed on IDEAS

    as
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    6. Kenneth A. Froot, 2008. "The Intermediation of Financial Risks: Evolution in the Catastrophe Reinsurance Market," Risk Management and Insurance Review, American Risk and Insurance Association, vol. 11(2), pages 281-294, September.
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