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Climate Insurance

Welcome to the "Climate Insurance" database, a joint project between the Global Index Insurance Facility (GIIF), Munich Climate Insurance Initiative (MCII), and the German Corporation for International Cooperation GmbH (Deutsche Gesellschaft für Internationale Zusammenarbeit, GIZ), commissioned by the German Ministry for the Environment, Nature Conservation, Building and Nuclear Safety. This database shares the experiences of numerous international organizations in the field of risk transfer and insurance solutions to climate risk management. Its main objective is to share best practices and innovative solutions to contribute to successful and sustainable climate risk insurance projects in climate-vulnerable countries.
 

On this database, users can find factsheets, InFocus, videos, and reports which they can filter by type, topic, country, region, or organization. The factsheets show the experiences of international organizations with relevant projects on climate risk insurance to identify lessons-learned, challenges, best practices and innovative solutions. The InFocus identifies and focuses on one technical topic within a climate risk insurance project and pinpoints the barriers, necessary steps, remedial actions, and overall recommendations. The videos and reports give more in-depth information on specific aspects of climate risk insurance. 

If you are interested in sharing your knowledge on the Climate Insurance database, please contact mcii@ehs.unu.edu.

** What are factsheets and InFocus documents in this section?

Developing Risk Management Approaches for Climate Risk

Developing Risk Management Approaches for Climate Risk

Date:
Author:
GIZ
Topics:
Market Development
Enabling Policy Environment
Loss and damage from natural disasters have increased substantially over the last couple of decades. In 2020, for example, 980 natural disasters struck the world, causing significant economic loss, destroying major infrastructure, and claiming human lives.1 A single natural disaster can have enormous financial impacts. Some of these damages and losses can be reduced and transferred if appropriate policies and actions are applied. For this reason, Climate and Disaster Risk Management (DRM) has gained importance on international agendas and in many organisations. The main idea behind DRM is to
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Paraguay: Integrated Risk Management in Livestock Value Chains

Paraguay: Integrated Risk Management in Livestock Value Chains

Date:
Author:
GIZ
Topics:
Market Development
In Paraguay, the agricultural sector continues to be the most important economic sector, with high relevance for national economic growth. While traditionally, there has been a strong track record and concentration of public resources on cattle production, the rather non-traditional sectors of small animal husbandry have become an increasingly important source of income for vulnerable rural households. Yet, the producers and other actors of the value chain face different risks: recurring inundations blocking access roads or the outbreak of animal diseases in production clusters can interrupt
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Strengthening the resilience of the vulnerable rural population

Strengthening the resilience of the vulnerable rural population

Date:
Author:
GIZ
Topics:
Market Development
Enabling Policy Environment
The agricultural sector is a key segment of the Paraguayan economy, representing 30% of gross domestic product, 40% of exports, and the source of employment for a large majority of the rural population.1 Given the importance of this sector, agricultural risks are key to the economic and social health of Paraguay. Family farmers and their households, representing 90% of the total farms, are the ones most at risk of being trapped or falling into poverty due to external shocks and to the lack of adequate protection mechanisms. Due to the country’s subtropical temperate climate, characterized by a
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From Innovation to Learning: Creating Climate and Disaster Risk Finance and Insurance (CDRFI) Evidence Roadmap

From Innovation to Learning: Creating Climate and Disaster Risk Finance and Insurance (CDRFI) Evidence Roadmap

Date:
There is growing awareness of the need for rigorous climate and disaster risk finance and insurance (CDRFI) evidence. MCII is shepherding a process to development an evidence roadmap to generate strategic analytics, promote evidence-based action, and develop (and share) best practice. This process kicked off at a virtual workshop, hosted by the Munich Climate Insurance Initiative (MCII) in partnership with the InsuResilience Global Partnership, from 8-11 September, 2020. The workshop was based on a series of evidence briefs, drafted by experts and capturing the state of knowledge in a variety
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Climate Risk Insurance in the Caribbean: 20 Lessons Learned from the Climate Risk Adaptation and Insurance in the Caribbean (CRAIC) Project

Climate Risk Insurance in the Caribbean: 20 Lessons Learned from the Climate Risk Adaptation and Insurance in the Caribbean (CRAIC) Project

Date:
The Climate Risk Adaptation and Insurance in the Caribbean (CRAIC) was one of the first projects of its kind in the Caribbean region and was designed as a project focused on learning and continuous improvement. The CRAIC project consortium aimed to capture the lessons learned during implementation, build on best practices, and—when required—take corrective action along the way. The lessons learned by the CRAIC implementers are applicable to other small island and coastal states that have an interest in developing and implementing similar microinsurance schemes to support vulnerable populations
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The Future of Disaster Risk Pooling for Developing Countries: Where Do We Go From Here?

The Future of Disaster Risk Pooling for Developing Countries: Where Do We Go From Here?

Date:
Author:
World Resources Institute
Highlights This paper analyzes how a portion of the current disaster risk finance architecture is serving developing countries. We focus on the three regional risk pools— CCRIF SPC (formerly the Caribbean Catastrophe Risk Insurance Facility) (referred to throughout as “CCRIF”); African Risk Capacity (ARC); and Pacific Catastrophe Risk Insurance Company (PCRIC)—that offer parametric disaster insurance to developing countries. Disaster risk finance instruments, including insurance, should be deployed in combination to address the various “layers” of risk, but few countries appear to be following
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Ecosystem-based Adaptation and Insurance: Success, Challenges and Opportunities

Ecosystem-based Adaptation and Insurance: Success, Challenges and Opportunities

Date:
Author:
InsuResilience Global Partnership
There are many opportunities for the greater integration of Ecosystem-based Adaptation (EbA) and insurance for risk reduction, and many challenges that remain. The substantive engagement between the insurance and environmental sectors is relatively new. Thus, it is hardly surprising that few fully integrated Climate Risk Finance & Insurance (CRFI) & EbA products (e. g., reef insurance) currently exist, and that such solutions face some challenges. That said, there are many common interests and significant opportunities which could help improve integration of CFRI with EbA and more broadly
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Senegal: Innovation and Technology

Senegal: Innovation and Technology

Date:
Author:
GIZ, MCII
Topics:
Innovation & Technology

The high transaction costs of serving low-income clients in developing and emerging market economies demand innovative and technological advancements. Challenges that inflate operational costs include data collection, processing and management, premium payment mechanisms as well as claims verification and settlement. Index insurance products, mobile payment devices or more accurate weather and agricultural-yield information based on satellite data are examples of innovative approaches that can help to overcome these challenges.

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Advancing Caribbean Climate Adaptation through Natural Solutions

Advancing Caribbean Climate Adaptation through Natural Solutions

Date:
Author:
GIZ

The impacts of climate change are increasingly severe and the need for action is more urgent than ever. Caribbean islands are among the world’s most vulnerable, with storm frequency and intensity, flooding, wind damage and sea level rise all predicted to worsen, increasing threats to hospitals, power plants, freshwater sources, roads, houses and schools. Island communities must work together to prepare for disasters caused by natural phenomenon and minimize the impacts they will endure. Evidence shows that key ecosystems, like coral reefs and mangroves, can help reduce these risks while

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ACRI+ Advancing Climate Risk Insurance plus

ACRI+ Advancing Climate Risk Insurance plus

Date:
Author:
GIZ, MCII
The overall aim of the project is to increase resilience to extreme weather events by devising on an integrated climate risk management approach that includes insurance. The ACRI+ project worked to collect the experiences and best practices from different organizations across the globe and promote these findings at international conferences and workshops, as well as on their online database “Climate Insurance”.
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