Insurers attend parametric insurance workshop
REPRESENTATIVES from local and regional insurance companies and central banks are currently part of Fiji’s first training workshop on parametric insurance.
Hosted by the United Nations Capital Development (UNCD), the two-day workshop aims to help regional insurers learn and understand more about parametric insurance.
Reserve Bank of Fiji (RBF) Governor Arif Ali said the workshop was very fitting in many folds given experience that Pacific Island countries have every year with natural disasters.
“This training has been much awaited since Fiji launched its first parametric insurance product in 2021 with the RBF approval, following a successful trial in our inhouse regulatory sandbox,” Mr Ali said.
“A total of 17,963 households representing over 55,000 individuals have been covered in the region so far, with return customers who are beginning to understand the value in having some form of insurance for extreme weather events.
“Forty per cent of those covered include women, 1,049 persons with disabilities and 2000 social welfare recipients. Five Pacific countries today have access to six climate and disaster risk finance and insurance products and one anticipatory action product.”
He said the training workshop serves to build capacity within the local industry that would improve service delivery and foster greater access to parametric products.
“It will greatly enhance the understanding and knowledge of parametric insurance for climate-vulnerable countries in the Pacific, as a viable option to pursue especially with the excellent track record of communities getting quick payouts.
“By providing immediate cash liquidity for fast recovery from extreme weather events, these products also minimise and address loss and damages in a unique and creative ways.”
The two-day workshop ends today.
It will greatly enhance the understanding and knowledge of parametric insurance for climate-vulnerable countries in the Pacific – RBF Governor Arif Ali