MTA sells catastrophe bonds to pay for future storm damage

For the first time in its history, New York City's Metropolitan Transportation Authority has sold catastrophe bonds to pay for damage from future storm surges of the sort seen with superstorm Sandy. The bonds serve as an alternative to conventional insurance, which has largely dried up after Sandy. Other transportation agencies in the Northeast have reported that insurance costs have changed little since the storm.

View Full Article in:

Wall Street Journal (tiered subscription model), The

Published in Brief: