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Planet Money
Planet Money

How hurricanes became a hot investment

Dec 5, 2025 · 30m
AI Summary
  • Jamaica's government creates 'catastrophe bonds' by asking global investors to wager on hurricane probability as a financial risk-sharing tool
  • Catastrophe bond market has expanded to cover Japanese earthquakes, California wildfires, and other major disasters, transforming insurance models
  • Shows how financial innovation allows countries to transfer disaster risk to investors while changing insurance accessibility for citizens

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