World Video | Defence | Foreign Affairs | Natural Events | Trade | NZ in World News | NZ National News Video | NZ Regional News | Search

 


5 Pacific Islands to Be Insured Against Natural Disasters

5 Pacific Island Nations to Be Insured Against Natural Disasters

Pilot program to help governments respond to natural disasters

SYDNEY, January 18 2013 – The Marshall Islands, Samoa, Solomon Islands, Tonga and Vanuatu plan to be better protected against natural disasters after a pilot catastrophe risk insurance program was launched today to provide their governments with immediate funding if a major natural disaster occurs.

Pacific Island countries are some of the most vulnerable in the world to natural hazards, which can cause millions of dollars of damage, and threaten the lives of tens of thousands of people. Eight Pacific nations sit among the world’s top twenty countries with the highest annual losses, on average, from disasters as a proportion of GDP.

Japan, the World Bank and the Secretariat of the Pacific Community (SPC) have teamed up with Pacific island nations to launch the Pacific Catastrophe Risk Insurance Pilot. It will test whether a risk transfer arrangement modeled on an insurance plan can help Pacific island nations deal with the immediate financial effects of natural disasters.

The pilot relies on state-of-the-art financial risk modeling techniques and is the first ever Pacific scheme to use parametric triggers, linking immediate post-disaster insurance payouts to specific hazard events. This joint effort will allow Pacific island nations to access earthquake and tropical cyclone catastrophe coverage from reinsurance companies at an attractive price.

We know all too well the financial impacts of natural disasters and are fortunate to have post-disaster assistance from donor countries,” said Lisiate 'Akolo, Minister for Finance and National Planning in Tonga. “This project will allow us to better respond immediately to phenomena like tropical cyclones, earthquakes and tsunamis.”

This program offers immediate emergency funding in the aftermath of a major disaster and will help stabilize the Pacific Islands' economies so their efforts to respond to an emergency situation can be maximized,” said Japan’s Ministry of Finance. “Japan’s participation in this program is in line with our commitment in mainstreaming disaster risk management at the Sendai Dialogue.”

The Pacific Catastrophe Risk Insurance Pilot is the first of its kind in the Pacific. This is an excellent opportunity to see whether insurance might work for Pacific island countries and to explore options for financing disaster responses in the future,” said Dr. Russell Howorth, Director of the SPC Applied Geosciences and Technology Division.

Governments’ access to emergency funding will help them quickly respond to the needs of their affected people,” said Franz Drees-Gross, World Bank Country Director for the Pacific. “It is especially important for vulnerable countries like those in the Pacific, which must frequently deal with natural disasters.”

The World Bank will act as an intermediary between the Pacific Island nations and a group of insurance companies selected through a competitive bidding process – Sompo Japan Insurance, Mitsui Sumitomo Insurance, Tokio Marine & Nichido Fire Insurance and Swiss Re. AIR Worldwide provides the underlying risk modeling for the transaction.

The Pacific Catastrophe Risk Insurance Pilot is part of the Pacific Catastrophe Risk Assessment and Financing Initiative (PCRAFI), a joint initiative of the World Bank, SPC, and the Asian Development Bank with financial support from the Government of Japan, the Global Facility for Disaster Reduction and Recovery (GFDRR) and the European Union. PCRAFI, launched in 2007, aims to provide the Pacific island nations with disaster risk assessment and financing tools for enhanced disaster risk management and climate change adaptation.

ENDS

© Scoop Media

 
 
 
 
 
World Headlines

 

Israeli Soldier Kills PA Minister At Non-Violent Protest

Yesterday, an Israeli soldier killed Palestinian Authority (PA) Settlment minister, Ziad Abu Ein, at a non-violent demonstration in the village of Turmusaya. More>>

ALSO:

  • Palestinian Centre For Human Rights - Ban on Palestinians claiming compensation against military
  • Pakistan School Killings

    GENEVA (16 December 2014) – The UN High Commissioner for Human Rights Zeid Ra’ad Al Hussein on Tuesday condemned what he described as “an utterly despicable and incomprehensibly vicious attack on defenceless children” at a co-educational school ... More>>

    ALSO:


    Sobering Data On American's Apathy About CIA Torture

    Despite a scathing report on torture, a majority of survey respondents approve of the CIA's grisly methods. More>>

    Sea Shepherd Intercepts Toothfish Poachers

    Yesterday, at approximately 2152 AEDT, the Sea Shepherd conservation ship, Bob Barker, intercepted the illegal fishing vessel Thunder, at 62 15’ South, 81 24’ East, inside the CCAMLR (Commission for the Conservation of Antarctic Marine Living Resources) ... More>>

    The White House: Charting A New Course On Cuba

    We are separated by 90 miles of water, but brought together through the relationships between the two million Cubans and Americans of Cuban descent that live in the United States, and the 11 million Cubans who share similar hopes for a more positive future for Cuba. More>>

    ALSO:


    Journalist Most Recent Victim Of Israeli Military

    Bashar, a journalist from Palestine TV, was shot in the left leg at Kufr Qaddum on Friday the 5th of December 2014. More>>

    ALSO:

  • Palestinian Centre For Human Rights - Swiss government’s bid to convene a summit on Palestine
  • UN News - UN-backed reconstruction efforts continue in Gaza
  • UNICEF Mobilizes To Reach People Affected By Typhoon

    As Typhoon Hagupit wreaks havoc through the Philippines, UNICEF is acting quickly to support the Filipino government’s response to the emergency, providing lifesaving supplies and services for children and women in the areas hardest hit by cyclone-force ... More>>

    ALSO:

  • FAO - FAO praises government for early typhoon warnings
  • Get More From Scoop

     
     
     
     
     
    World
    Search Scoop  
     
     
    Powered by Vodafone
    NZ independent news