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Reducing the impacts of disasters on poor people is absolutely vital. Climate/disaster risk financing could play a useful role if it is part of an approach that includes risk reduction, if it strengthens social protection, and if it has real participation from civil society. Insurance, as one component of risk financing, could play a supportive role if carefully designed – keeping in mind the limitations, including the risk of worsening income and gender inequality.
The InsuResilience Global Partnership should build more evidence of what works for poor people, invest in pro-poor business models, and ensure the insurance schemes developed are part of a broader approach to reduce risks and the inequalities that make people vulnerable to disasters.
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