What does Catastrophe Swap mean? Read on to discover the definition & meaning of the term Catastrophe Swap - to help you better understand the language used in insurance policies.
Option contract used by investors to exchange (swap) a fixed payment for a certain portion of the difference between insurance premiums and losses caused by claims. Traded on the New York Catastrophe Exchange.
We hope the you have a better understanding of the meaning of Catastrophe Swap.