World Bank Settles Catastrophe Bond issued on behalf of the Government of Jamaica

The World Bank on Thursday settled a catastrophe bond that was issued on behalf of Jamaica in the amount of US$150 million.

The cat bond attracted fifteen global investors, providing funding for catastrophe insurance to Jamaica for four hurricane seasons.

In the event of a named storm, insurance payouts to Jamaica will be triggered once the storm meets the criteria for location and severity set forth in the bond terms. 

In 2021, Jamaica became the first developing country in the world to independently sponsor a catastrophe bond.