IDB executes first catastrophe swap, giving Belize up to US$20 million in hurricane coverage

The IDB has transferred a layer of Belize’s hurricane risk to international reinsurance markets through Swiss Re in its first catastrophe swap. The parametric protection runs through May 2028 and provides up to US$20 million in coverage, with rapid payouts triggered by pre-agreed hurricane conditions and capped at US$10 million per policy year.

Source: IADB