Promoting Integrated Mechanisms for Climate Risk Management and Transfer

Risk transfer instruments, such as insurance, are increasingly contributing to the effects of governments and households to reduce the immediate and long-term losses associated with extreme events. They not only offer funds for post-disaster relief and reconstruction, but can also contribute to support ex ante reductions in vulnerability. Thus, throughout the international climate change negotiations following the Bali Action Plan, risk management and insurance have been increasingly featured as a means to advance climate-change adaptation and manage risks of extreme weather events.

With the creation of the SBI work program on loss and damage, at COP-16 in Cancun, Parties to the UNFCCC increasingly expressed their desire for more knowledge, practical examples and capacity support to address some elements of the work program such as risk management and risk transfer. To address these policy and practical concerns, MCII and GIZ collaborated on a project which aims to develop a strategic framework for low income countries and emerging economies to better assist climate negotiators in finding ways to implement climate risk insurance solutions in an integrated climate risk management approach. This will require a stronger evidence base, greater political commitment and efforts to systematically support decision makers in their discussions leading up to the important international policy window in the future (i.e. Hyogo Framework, Millennium Development Goals, UNFCCC Climate Deal).

Latest News

MCII releases new publication, "Countries Addressing Climate Change Using Innovative Insurance Solutions" Opens internal link in current windowread more

MCII & GIZ Host Workshop: Innovative Insurance Solutions for Climate Change in a Comprehensive Risk Management Approach - Developing a Toolkit  Opens internal link in current windowread more

May workshop: Creating a toolkit on how to integrate insurance into a country-driven climate risk management approach Opens internal link in current windowread more

New Report: “Innovative Insurance Solutions for Climate Change: How to integrate climate risk insurance into a comprehensive climate risk management approach” Opens internal link in current windowread more