Despite the growing number of natural disasters fueled by climate change, the catastrophe bond market is nearly double its 2013 level, as investors rush to make a profit.
Even as Tropical Storm Idalia heads toward Florida, hedge funds, pension plans and the ultrarich are increasingly putting their money into these insurance-linked securities
Insurers unload some of their risk by selling cat bonds, which require investors to pay damages resulting from a natural disaster, if specific conditions are met. The bonds offer fat returns, but carry the risk of total loss of principal if the worst happens.
Quite the opposite! The apocalypse will cost them a lot of money. Maybe that would incentivize them to work to avoid it, although I doubt it.