insurance

 “Cat” bonds are effectively a cheaper source of large-scale insurance coverage against clearly measured risks like earthquakes, storms, or even disease outbreaks. Generally, though, coverage hasn’t trickled down to the poorer and most at-risk countries—precise...

When a disaster strikes, we are urged to send money, and many people do—but is there a better way to fund the relief effort? My guests this week, DFID chief economist Stefan Dercon and CGD senior analyst Theo Talbot, believe that insurance can help.

Aid for countries after a disaster is rooted in our best impulses, but the way we provide it urgently needs to be reformed. We spend too little on reducing the costs of future disasters, aid shows up too late, and calls for reform are met with replies of “too bad”&nbs...