The Access to Insurance Initiative (A2ii) and the United Nations Capital Development Fund (UNCDF) announce the launch of two pioneering self-directed training programs on index insurance. These programs are designed to empower insurance supervisors and other stakeholders engaged in the development of index insurance markets, particularly in Emerging and Developing Economies (EMDEs).

Index-based insurance is a valuable tool for extending coverage to previously excluded or underserved segments, facilitated by the implementation of suitable regulations and incentive policies. As digitisation and technology permeate the entire insurance value chain, supported by favourable regulations, index-based insurance transcends its traditional role of safeguarding against weather and catastrophic risks. This expansion of index insurance heralds possibilities for insurance markets, establishing itself as a tool for supervisors, regulators, and policymakers dedicated to narrowing the protection gap. Moreover, it emerges as an ally for governments committed to achieving the United Nations Sustainable Development Goals, helping address climate change (SDG 13), securing food stability (SDG 2), fostering increased productivity and income (SDG 9), ultimately contributing to poverty reduction (SDG 1) and diminished vulnerability.

The two trainings, targeting insurance supervisors and other stakeholders, represent a significant step forward in advancing index insurance expertise and contributing to the broader mission of fostering financial inclusion and resilience. The trainings are based on the paper "Index Insurance Best Practices for Insurance Regulators and Practitioners in the Pacific Island Countries," co-published by A2ii and the UNCDF in 2022.

The certified training for supervisors offers a comprehensive and structured curriculum covering a range of topics, from understanding product categories and testing to prudential supervision and best practices in operations. The training is hosted on A2ii’s learning and exchange platform exclusive for supervisors Connect.A2ii.

The training for other stakeholders covers best practice considerations that could be relevant to their perspectives and in working collaboratively with supervisors. This training is open to all interested stakeholders on A2ii’s Self-Directed Learning page.

‘Supervisory capacity building is key to keeping up with the developments of the insurance landscape, and this training is an indispensable resource for supervisors seeking to stay ahead and make informed decisions. Capacity building is especially beneficial for emerging economies, where the growth and development of index insurance markets can contribute to climate and disaster risk resilience and broader financial inclusion.’

- Peter Braumueller, Chair of the A2ii Governing Council

“Creating an enabling policy and regulatory environment is vital to improve access to and usage of appropriate and affordable index insurance products in developing markets, where regulators and other key stakeholders need the knowledge and capacities to take informed decisions to foster innovation”
- Henri Dommel, Director, UNCDF

The two trainings make part of the A2ii-UNCDF agreement to drive access to insurance and pension for migrants, including climate disaster risk insurance.

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About A2ii
The Access to Insurance Initiative (A2ii) is a unique global partnership working to ensure that the world’s excluded and underserved have access to insurance, allowing them to take control of their lives and reduce their vulnerability against risks. The A2ii does this by supporting insurance supervisors and regulators to create the conditions necessary for an inclusive insurance market to grow. The Initiative was created in 2009 to respond to requests from policymakers, regulators and supervisors for learning and advice on access to insurance. The following organisations established the A2ii: the IAIS, BMZ, CGAP, and the International Labour Organization, represented by the International Labour Office (ILO), subsequently renamed the Impact Insurance Facility and FinMark Trust. The A2ii receives core funding from the German Federal Ministry for Economic Cooperation and Development (BMZ) and the Netherlands’ Ministry of Foreign Affairs (DGIS). The A2ii is hosted by the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ).
The A2ii is the implementation arm of the IAIS on inclusive insurance. IAIS is embedded in the governance structure and operations. The A2ii generates and disseminates knowledge, builds capacity, contributes to IAIS standard-setting, fosters learning and dialogue, supports implementation at the regional and national levels, and participates in global advocacy processes.

About UNCDF
The United Nations Capital Development Fund (UNCDF) is the United Nations’ flagship catalytic financing entity for the world’s 46 Least Developed Countries (LDCs). With its unique capital mandate and focus on the LDCs, UNCDF works to invest and catalyse capital to support these countries in achieving the sustainable growth and inclusiveness envisioned by the 2030 Agenda for Sustainable Development and the Doha Programme of Action for the least developed countries, 2022–2031. UNCDF builds partnerships with other UN organizations, as well as private and public sector actors, to achieve greater impact in development; specifically by unlocking additional resources and strengthening financing mechanisms and systems contributing to transformation pathways, focusing on such development themes as green economy, digitalization, urbanization, inclusive economies, gender equality and women’s economic empowerment. A hybrid development finance institution and development agency, UNCDF uses a combination of capital instruments (deployment, financial & business advisory and catalysation) and development instruments (technical assistance, capacity development, policy advice, advocacy, thought leadership, and market analysis and scoping) which are applied across five priority areas (inclusive digital economies, local transformative finance, women’s economic empowerment, climate, energy & biodiversity finance, and sustainable food systems finance).