Publication

Climate Risk Insurance: Literature Reviews

Summary

UNCDF is implementing the Pacific Insurance and Climate Adaptation Programme jointly with the UNDP and UNU-EHS. The overall objective is to improve the financial preparedness and resilience of Pacific Islanders, specifically vulnerable segments of society and economic sectors, towards climate change and natural hazards.

The South Pacific region is extremely vulnerable to natural hazards like cyclones, droughts, earthquakes, tsunamis and other natural disasters. Vanuatu, Tonga, Solomon Islands and Papua New Guinea are four of the top ten countries with the highest disaster risks worldwide. The accelerated frequency and severity of the disasters due to climate change have disrupted economic and social progress as well as development gains. With no adequate insurance protection and coverage in the region, the economic impacts especially on vulnerable populations, have been devastating.

To better understand the challenges, gaps and opportunities around climate risk insurance, a literature review was conducted for identified focus countries in the Pacific. These reports examine and present the current knowledge and substantive findings on economic impacts of natural hazards on vulnerable populations in Fiji, Papua New Guinea, Samoa, Solomon Islands, Tonga and Vanuatu. The reports provide a body of evidence that highlights the disaster and climate related hazards, exposures and vulnerabilities that the programme can effectively target. Evidence that the Pacific Insurance and Climate Adaptation Programme will use as a starting point to improve coping mechanisms; focusing on financial preparedness and resilience of the vulnerable people and industries in the Pacific.

  • Publish Date:
    November 30, 2020