Climate change is impacting regions worldwide, but pacific island countries are particularly vulnerable to frequent and severe climate related risks with low capacity to manage them. Climate risk insurance is part of an integrated climate risk management approach, which provides immediate liquidity post disaster to cope up with the urgent financial needs. A multi layered climate risk insurance strategy on a macro, meso and micro level can respectively help the governments, organizations and individuals, and thus the entire economy to manage the impacts of climate related disasters.
The Munich Climate Insurance Initiative (MCII) intends to share its thirteen years of knowledge and expertise in advocating for new ways of applying insurance to complement risk management and adaptation with the Pacific Financial Inclusion Programme (PFIP) in support of their strategy to strengthen the resilience of vulnerable communities in the Pacific. The intention is to leverage MCII’s over six years of experience gained in the micro insurance space by leading and coordinating the CRAIC project to undertake a scoping study in the Pacific to explore possible implementation of climate risk adaptation and insurance programmes in the Pacific region.