The September 11th terrorist attacks, the Chernobyl nuclear accident, Hurricane Andrew and the Kobe earthquake are all recent examples of large-scale disasters that have taken a massive toll in human lives, wealth and property. They have disrupted vital systems such as transport and energy supplies and spilled over into neighbouring as well as distant regions. They have also generated widespread anxiety, and in some cases created deep-seated public mistrust of governments' ability to protect their citizens.

This book is based on a report prepared between May and July 2003 by a multi-disciplinary team of experts from inside and outside of the OECD. It examines the economic and social impacts of past large-scale disasters, and draws a number of key lessons for the future. Its focus is on better prevention of disasters, and on restoring trust and securing recovery in their aftermath.

Part I. Insurability of Catastrophic Risks
Chapter 1. Some Aspects of the Economics of Catastrophic Risk Insurance by Christian Gollier
Chapter 2. Industrial, Technological and Other Catastrophes by Christian Lhanstein
Chapter 3. Recent Trends in the Catastrophic Risk Insurance/Reinsurance Market by Patrick Murphy O'Connor
Chapter 4. Insurance of Atmospheric Perils - Challenges Ahead by Peter Zimmerli
Chapter 5. National Security and Compensation Policy for Terrorism Losses by Lloyd Dixon and Robert Reville
Chapter 6. Current State of the Coverage for War and Terrorism Risks in the Aviation Sector by Eugene Hoeven
Chapter 7. Terrorism Insurance: An Overview of the Private Market by Ben Garston
Part II. Financial Markets Solutions to Manage Catastrophic Risks
Chapter 8. Current Challenges in the Securitization of Terrorism Risk by Gordon Woo
Chapter 9. Financing Disaster Risks in Developing and Emerging Economy Countries by Reinhard Mechler
Chapter 10. The Potential for New Derivatives Instruments to Cover Terrorism Risks by Michele David
Chapter 11. Catastrophic Risk Securitization: Moody's Perspective by Rodrigo Araya
Part III. Role of Government and Public-Private Partnerships for Catastrophic Risks Management
Chaper 12. Comparative Analysis of Large Scale Catastrophic Compensation Schemes by Paul K. Freeman and Kathryn Scott
Chapter 13. Rapid Onset Natural Disasters: The Role of Risk Financing in Effective Catastrophic Risk Management by Eugene Gurenko and Rodney Lester
Chapter 14. Designing a Disaster Insurance Pool: Participatory and Expert Approaches in Hungary and Turkey
Chapter 15. The French Experience in the Management and Compensation of Large Scale Disasters by Suzanne Vallet
Chapter 16. Disaster Risk Management in Japan by Non-Life Insurance Rating Organisation and K. Kawachimaru
Chapter 17. Natural Disasters Fund (FONDEN) by Carlos Bayo Martinez
Chapter 18. The Spanish Experience in the Management of Extraordinary Risks, Including Terrorism by Ignacio Machetti
Chapter 19. The Turkish Catastrophe Insurance Pool (TCIP) and Compulsory Earthquake Insurance Scheme by s. Yazici
Chapter 20. Natural Disasters and Disaster Relief Policy in China by Y Zheng and J. Mu
Chapter 21. Disaster Management in India by D. Madan
Chapter 22. Management of Extraordinary Risks, Including Terrorism, in India: Achievements and Prospects by C. S. Rao
Chapter 23. Earthquake Risk Management Policy in Indonesia by Werner G. Bugl
Chapter 24. Disaster Risk Management Policy in the Philippines by Ronald I. Flores
Annex 1. List of Speakers and Presentations