世界银行-动员公私合作解决方案_管理新兴市场和发展中经济体自然灾害的财务影响（英）-2025_18页_1mb

Summary of "Mobilizing Public-Private Solutions to Manage the Financial Impacts of Natural Hazards in Emerging Market and Developing Economies"

Core Content

This policy note explores the role and operationalization of Public-Private Insurance Programs (PPIPs) in addressing the insurance protection gap in emerging market and developing economies (EMDEs). It emphasizes the importance of integrating private sector capital, government action, and innovative financing models to build resilient disaster risk finance systems. The goal is to support scalable, adaptive, and financially sustainable solutions that help individuals, businesses, and governments manage the financial impacts of natural hazards.

Main Points

• Resilience and Climate Risks: Resilience is essential to protect people and livelihoods in the face of frequent and overlapping crises. Climate change is increasing the frequency and intensity of natural disasters, making it more challenging for governments and individuals to afford insurance.

• Insurance Protection Gap: The global insurance protection gap for natural catastrophes was estimated at 62% in 2023, with developing countries facing gaps exceeding 90%. This leaves billions of people without adequate financial protection against disaster impacts.

• Role of PPIPs: PPIPs involve collaboration between governments, insurance companies, regulators, and development partners to address both supply-side and demand-side constraints. These programs can include social insurance, catastrophe risk insurance, and alternative risk transfer instruments.

• Adaptation to Country Contexts: The implementation of PPIPs varies by country, depending on financial sector development, government capacity, and policy objectives. Countries with underdeveloped financial systems may rely on international assistance and parametric insurance, while more developed systems can leverage national insurance pools and domestic markets.

• Key Instruments in PPIPs:

  • Adaptive Social Protection: Programs that provide emergency support to vulnerable populations, often backed by international reinsurance.
  • National Catastrophe Risk Insurance Pools: Instruments that help manage large-scale risks for homeowners and businesses.
  • Dual Catastrophe Risk Insurance Programs: Cover both insured and uninsured households through a mix of market-based insurance and government-backed solidarity funds.
  • Public Insurance Subsidy Programs: Government support for sector-specific insurance, such as crop insurance, to make it more accessible and affordable.
  • Sovereign Risk Pools: Regional initiatives that provide emergency liquidity and risk transfer for low-income countries.
  • Sovereign Alternative Risk Transfer: Instruments like CAT bonds and swaps that allow governments to transfer risk to capital markets.

Key Examples

• Malawi: Implemented a PPIP that combines a contingency fund and a sovereign risk transfer instrument to provide emergency cash transfers during droughts. This is the first in Africa to directly back a shock-responsive component of a social protection program with insurance.

• Horn of Africa: A regional initiative that provides financial services, including livestock insurance, to pastoralists, supported by local insurers and a sovereign reinsurance product in Djibouti.

• Turkey: Launched the Turkish Catastrophe Insurance Pool (TCIP), a mandatory program that insures urban areas and is supported by a financial guarantee from the government. It has achieved high efficiency in payouts.

• Morocco: Developed a dual catastrophe PPIP that includes a Solidarity Fund (FSEC) to cover uninsured households, with significant support from parametric reinsurance.

• India: Operates the largest subsidized crop insurance scheme globally, the Pradhan Mantri Fasal Bima Yojana (PMFBY), which includes index-based insurance and is supported by government subsidies.

• Indonesia: Transferred risk for public assets to the insurance market through the State Assets Insurance Program (ABMN), insuring over 11,000 public buildings.

• Jamaica: Introduced a layered DRFI approach that includes CAT bonds, contingent funds, and regional catastrophe risk pools to enhance coverage for extreme events.

Key Lessons

• Government Leadership: Governments must play a central role in designing and implementing PPIPs, ensuring alignment with policy objectives and financial capacity.

• Public-Private Collaboration: Successful PPIPs require collaboration between public and private entities, including regulators, insurers, and development partners.

• Tailored Approaches: No single approach works for all countries. PPIPs must be adapted to local conditions, including the level of financial inclusion, market development, and institutional capacity.

• Innovation and Technology: The use of remote sensing and satellite data can improve the accuracy and efficiency of insurance claims and risk assessments.

• Sovereign Risk Transfer: Regional and international risk pools can help low-income countries manage disaster risks more effectively by diversifying exposure and reducing costs.

• Financial Inclusion and Literacy: Improving financial literacy and access to insurance is crucial for increasing coverage, especially among low-income and vulnerable communities.

Agenda Ahead

• Enhancing Financial Resilience: Continued efforts to build financial resilience through PPIPs, especially in EMDEs, are essential to address climate and disaster risks.

• Expanding Coverage: Increasing insurance penetration, particularly for vulnerable populations and sectors like agriculture, is a priority.

• Policy and Regulatory Support: Strengthening legal and regulatory frameworks is necessary to create an enabling environment for insurance markets and PPIPs.

• Global Partnerships: Strengthening global partnerships, including with multilateral development banks and reinsurance markets, will help EMDEs develop more robust and sustainable disaster risk finance solutions.