The overall aim of the project is to improve the affordability of high-quality sovereign catastrophe risk transfer associated with earthquakes and climate-related events of CCRIF participating countries.

The objective of the Albania Disaster Risk Mitigation and Adaptation Project (AL-DRMAP) is to strengthen institutional capacities, to reduce Albania‘s vulnerability to natural and manmade hazards, and to limit human, economic, and financial losses due to disasters.

The development of sustainable insurance solutions requires a thorough risk assessment, modeling and layering. Agricultural and climate risks are mainly of a systemic nature, i.e. they affect a large geographic area or large parts of the population simultaneously. If the insured risk is not adequately spread, one catastrophic event can threaten the viability of the whole scheme. To lower covariate risks, the portfolio thus needs to be diversified in terms of crops, type of risks, and different geographical regions.