IDF calls for ‘convergence’ of insurance and disaster risk management

Adaptation and resilience were the strong focus of the The Insurance Development Forum (IDF) and its partners at COP27.

The Global Resilience Index Initiative (GRII), a multi-partner taskforce, announced some key milestones in its development towards an open, standard set of climate metrics and data to measure risks to communities, infrastructure and ecosystems. 

And the Global Risk Modelling Alliance (GRMA) announced that it was selected as Key Tool to Support the Global Shield Against Climate Risks Initiative, backed by the V20 and the G7.

Meanwhile, the IDF together with the United Nations Development Programme (UNDP), German Government and the Lagos State Government in Nigeria signed an agreement to launch of a €1.5m project to develop a sovereign risk transfer scheme to provide flood risk cover and risk modelling expertise to improve the resilience of the population of Lagos State, Nigeria. 

Cross-border collaboration

Michel Liès, IDF Steering Committee chairman, and chairman of Zurich Insurance Group, said: “Our actions at COP27 – including the announcement of another in-country sovereign risk transfer projects, and significant operational progress and momentum in the pioneering GRMA and GRII programmes – are a testament to how insurance can influence systemic change, and what can be achieved through true cross-sector collaboration. 

“This progress and its impact is a reflection of incredible hard work, dedication and resources committed by the IDF, its members and partners and is indicative of significant mobilisation of new resources in support of the climate and disaster risk financing agenda. 

“And yet, as has been noted throughout COP27, time is not on our side. The urgency of the climate crisis affects us all, and calls for even greater speed and dedication. 

“Only through the three pillars of implementation, engagement and advocacy can we consolidate and deliver on our operational priorities, deepen and expand our engagement across public and private sectors, and strengthen the convergence between insurance and disaster risk management and its contribution to society.

“There is much more to do, and I am confident that the IDF will remain a key institution for bringing about systemic change, increasing collaboration and influence as we head into 2023.”