Securitisation optimises portfolio

Physicians in the quality healthcare network help reduce costs.

Munich Re is increasingly offering capital-market solutions to supplement traditional reinsurance. In February 2008, it securitises pandemic risks for the first time. The bond programme provides cover against losses following severe pandemics or similar events in the USA, Canada, England, Wales and Germany. Windstorm risks in Europe are placed on the capital markets under the “Queen Street” programme. It is the first time frequency risks have been securitised as well as peak risks. Furthermore, Munich Re also transfers earthquake risks to the capital markets for its Japanese client Zenkyoren.