The Development of Catastrophe Insurance in China : An Exploration - Learning from Experience : Insights from China’s Progress in Disaster Risk Management

In the aftermath of the 2008 Wenchuan Earthquake, the Chinese government recognized the importance of catastrophe insurance in promoting rapid rehabilitation and recovery following a disaster. China has since made significant progress in establishing a catastrophe insurance indemnity mechanism that allows for local innovations and pilots based on local characteristics. Looking ahead, major challenges for catastrophe insurance in China include its very limited coverage and the underdevelopment of supporting techniques such as catastrophe risk models.