Glossary
Attachment point
In non-proportional reinsurance, an amount over which a reinsurer agrees to start paying benefits (Reinsurance Glossary 2020).
other key terms
International crisis financing system
The network of global organisations funding crisis prevention, preparedness and response.
Prevention
Actions taken to avoid or reduce the impacts of future crises and hazards.
Disaster risk financing
Financial arrangements made in advance to pay for disaster prevention, response and recovery.
Resilience
The ability to withstand shocks, adapt, recover and continue functioning over time.
Index
A measurable indicator used to estimate losses and trigger financial payouts.
Basis risk
The gap between measured indicators and real losses causing payouts to differ from actual damage.
