Solutions and Practice Partnerships
- Facilitate Climate Risk Insurance solutions and make them (financially) sustainable
- Benchmark product characteristics to people’s needs by linking evidence to implementation
- Improve regulatory enabling environments, as well as conceptualizing and supporting effective institutional partnerships on climate risk insurance.
2019 – 2020 Highlights
Learning lessons and transitioning forward in the Caribbean
In December 2019, at COP 25, we presented our lessons learned from the Climate Risk Adaptation and Insurance in the Caribbean (CRAIC) project to the international community at various side events and panel discussions.
The CRAIC project is one of the first programmes of its kind in the region and was designed with a large information and experience gathering component. This allow the project consortium to capture lessons learned during implementation and update interventions accordingly. The lessons we learned through CRAIC are applicable to other small island and coastal states. In the presentation, we further revealed common challenges and provided recommendations for policymakers that could guide the development and implementation of national, regional and local adaptation plans and strategies with the goal to encourage a culture of knowledge sharing on climate and disaster risk insurance topics.
To safeguard the implementation results of Phase I and II achieved so far, as well as to sustainably continue and improve the risk transfer mechanism employed, it was pivotal to transfer the implementation measures into a regional body.
The CRAIC project builds on eight years of experience developing climate risk insurance (CRI) for vulnerable groups. The project focuses on ensuring that achievements thus far are sustained by institutionalizing CRAIC within CCRIF SPC (The Caribbean Catastrophe Risk Insurance Facility). The project extension will refine the model underpinning the Livelihood Protection Policy (LPP), scale-up access to the product within the existing five countries by broadening the number of distribution channels and work closely with governments to align microinsurance with social protection strategies. The extension will also support vulnerable groups and roll-out the product in other CCRIF SPC member countries as part of an overall strategy to close the protection gap.
Pacific Scoping Mission
Last year, along with the Pacific Financial Inclusion Programme (PFIP), we assessed the opportunities for setting up a climate adaptation and insurance programme in Vanuatu, Fiji, Tonga, Papua New Guinea, Samoa, and Solomon Islands. During two scoping missions, the team met with a wide array of stakeholders, government representatives, meteorological departments, farmer cooperatives, financial services providers and donors to understand their specific needs and identify opportunities for a comprehensive climate adaptation and disaster risk finance programme for Pacific Island states.
From Macro to Micro at the International Conference on Inclusive Insurance
MCII hosted the session “Integrating Macro, Meso, and Micro Insurance for Small Island States in the Caribbean and the Pacific Regions” at the 15th International Conference on Inclusive Insurance in November 2019. In the session, disaster risk financing frameworks were presented focusing on integrating micro insurance into meso and macro level schemes in the Caribbean and Pacific. Experts shared their knowledge of developing new ways of applying insurance to complement disaster risk management and climate change adaptation efforts.