巨灾风险谁来兜底？监管支持境内保险公司“侧挂车”

Core Viewpoint - The National Financial Regulatory Administration has issued a notice supporting domestic insurance companies to issue "sidecar" insurance-linked securities in the Hong Kong market, aiming to enhance catastrophe risk management tools [1][2]. Group 1: Regulatory Support and Market Context - The issuance of "sidecar" insurance-linked securities is a response to the significant operational pressures faced by insurance institutions when underwriting catastrophe risks, particularly given the complex and concentrated nature of such risks in China [2]. - Over 70% of cities and more than 50% of the population are located in areas severely affected by natural disasters, which can lead to losses in the hundreds of billions within a short time frame, impacting the solvency and capital levels of insurance companies [2]. Group 2: Financial Stability and Investment Opportunities - The introduction of "sidecar" insurance-linked securities is expected to improve the financial stability of insurance companies by allowing them to share part of the catastrophe risk with the capital market, thus smoothing operational volatility and enhancing resilience against catastrophe risks [4]. - These securities provide a new investment product for the Hong Kong market, characterized by low correlation with traditional financial assets, as their triggers are typically linked to natural disasters rather than conventional market factors [4]. Group 3: Comparison with Catastrophe Bonds - Catastrophe bonds, which allow insurance companies to package and transfer part of their catastrophe risks to investors, are more commonly used in the market. They enable a dual flow of risk and capital, offering high returns to investors if no disaster occurs, while providing funds for insurance losses if a disaster triggers payouts [4]. - Recent performance of catastrophe bonds has been strong, with an average annual return of approximately 7.4% since 2002, and double-digit growth expected in 2023 and 2024, indicating continued attractiveness for asset allocation [5]. Group 4: Development of Catastrophe Insurance System - China's catastrophe insurance system has been gradually improving since the establishment of the earthquake catastrophe insurance community in 2015, with ongoing expansion of the policy-based catastrophe insurance system [5]. - Regulatory authorities are set to further expand coverage and increase insurance amounts in 2024, encouraging the development of commercial catastrophe insurance, while local governments are exploring various underwriting models based on regional risk characteristics [5].