Caribbean Catastrophe Risk Insurance Facility a good model for South Pacific islands

The Caribbean Catastrophe Risk Insurance Facility (CCRIF) is doing a great job of providing insurance coverage for natural disasters to Caribbean nations. Well received by most, it’s now being seen as a potential model for a similar scheme to protect Pacific islanders against disasters which could destroy their property and businesses.

Work is already underway to draw up a similar scheme for the South Pacific according to this article on ReliefWeb. Any scheme would provide protection to countries who want to join and can pay their premiums with Samoa, Fiji and the Solomon Islands cited as likely members. The article also states that Madagascar, Mauritius and the Maldives are all interested in the scheme as well which could point to an Indian Ocean facility being set up.

With new products either on the way or being discussed, such as a rainfall coverage, crop coverage and a solution for electrical utilities, the CCRIF could provide the perfect solution for these groups of small countries. The shared administration costs, quick payout due to its parametric basis and flexibility of coverage available make the facility a great model to follow.