Prefer cat bond with an indemnity trigger

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Reference no: EM131392624

Why might a government entity (say the California Earthquake Authority) prefer a cat bond with a parametric trigger but an insurance or reinsurance company (say American Family) prefer a cat bond with an indemnity trigger?

Reference no: EM131392624

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Prefer cat bond with an indemnity trigger : Why might a government entity (say the California Earthquake Authority) prefer a cat bond with a parametric trigger but an insurance or reinsurance company (say American Family) prefer a cat bond with an indemnity trigger?

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