A Study On The Insurance Linked Securities Of China

In recent years, China's disaster occured repeatedly.It's damage has great influence on people's lives and propety. Facing the catastrophe, the international common practice is to establish insurance linked securities.In international insurance linked securities is a new vocabulary.Insurance linked securities is the connection of so-called "insurance securitization". Insurance linked securities is a new kind of financial derivatives connected capital market and insurance market. ILS is a new kind of alternative risk transfer. It transfered catastrophe risk and provided a new compensation form. Insurance linked securities as time goes by constantly develop further,it's development is going to a relatively mature stage,produced with various kinds of insurance linked securities based derivatives,such as Sidecars.In our country, the catastrophe occured frequently but uncertaintly.Conducting insurance linked securities has becomea new model to solve the catastrophe risk .Because the restrictions of china's environmental ,it's also did not appear in the true sense that called insurance linked securities. Now facing the catastropheour ,country universal procedure is the government's free disaster relief and relief. It is such limited. Though once intervention commercial insurance had catastrophe market,unable to bear huge compensation that because their size and insurance technical limitations.In our country's insurance linked securities has the extremely vital significance with the maturity of developed countries for reference insurance and insurance innovation, experience.The artical based on the theory of insurance linked securities research formation ,analysised the feasible mode. It provides a new idea for the catastrophe risk bonds of empirical research .Through to the investment environment, the technical indexes and the perfection of legal system for insurance connection securities to create favorable conditions.This paper also discussed insurance connection provides policy Suggestions, securities for relevant government department of decision-making,provided some important advices.