{"id":288066,"date":"2026-02-19T17:21:18","date_gmt":"2026-02-19T11:36:18","guid":{"rendered":"https:\/\/insurancekhabar.com\/?p=288066"},"modified":"2026-02-19T17:25:05","modified_gmt":"2026-02-19T11:40:05","slug":"what-are-the-concerns-of-insurance-and-reinsurance-companies-in-nepals-first-climate-transparency-report-2","status":"publish","type":"post","link":"https:\/\/english.insurancekhabar.com\/what-are-the-concerns-of-insurance-and-reinsurance-companies-in-nepals-first-climate-transparency-report-2\/","title":{"rendered":"What are the concerns of insurance and reinsurance companies in Nepal&#8217;s first climate transparency report?"},"content":{"rendered":"<p>Kathmandu. Nepal&#8217;s first biennial transparency report under the Paris Agreement published last April has clearly outlined Nepal&#8217;s climate risks, greenhouse gas emissions, adaptation strategies and financial needs. <\/p>\n<p>The report posted on the website of the Ministry of Forest has given a strong message to the insurance industry and global reinsurers to play an active role in climate risk management in Nepal. <\/p>\n<p><span style=\"color: #0000ff\"><strong>Increasing climate risk<\/strong><\/span><\/p>\n<ul>\n<p>In Nepal, the risk of floods, landslides, droughts and glacial lake bursts is frequent.TAG_OPEN_li_48 <\/li>\n<\/p>\n<p>Agriculture, hydropower, biodiversity, and urban infrastructure are the most affected sectors.TAG_OPEN_li_47 <\/li>\n<\/p>\n<p>Only TAG_OPEN_li_46 35.8% of the population is aware of climate change. Women and mountain communities are most vulnerable. <\/li>\n<\/p>\n<\/ul>\n<p><span style=\"color: #0000ff\"><strong>Financial Gap<\/strong><\/span><\/p>\n<ul>\n<p>Nepal&#8217;TAG_OPEN_li_45 s nationally assessed contribution implementation cost is estimated to be approximately $33.04 billion. <\/li>\n<\/p>\n<p>The implementation cost of the National Adaptation Plan (NAP 2021-2050) is approximately US$TAG_OPEN_li_44 47.4 billion. <\/li>\n<\/p>\n<li>Domestic resources can only meet less than 10% of the total requirement. The rest of the money will have to be raised through international aid and reinsurance mechanisms. <\/li>\n<\/ul>\n<p><span style=\"color: #0000ff\"><strong>Challenges and Opportunities for Insurance Companies<\/strong><\/span><\/p>\n<p><span style=\"color: #0000ff\">Agriculture and Animal Husbandry: <\/span> Insurance claims likely to increase due to climate-related production declines. <\/p>\n<p><span style=\"color: #0000ff\">Hydropower and Infrastructure: <\/span> Special insurance is required because climate extremes affect energy production. <\/p>\n<p><span style=\"color: #0000ff\"> Urban expansion: <\/span> Rapid urbanization has increased the risk of flooding and infrastructure damage. This requires the latest disaster insurance solution. <\/p>\n<p><span style=\"color: #0000ff\"><strong>Role of reinsurers<\/strong> <\/span><\/p>\n<p>Nepal&#8217;s Climate Budget Code has ensured fiscal transparency. This helps reinsurers in their risk assessment. <\/p>\n<p>The net-zero target by 2045 implies long-term policy stability. This makes Nepal an attractive market for climate risk insurance partnerships. <\/p>\n<p>Potential support could include weather index insurance for floods and glacial lake outbursts, regional reinsurance bridges, and capacity building of local insurers. <\/p>\n<p>Nepal&#8217;s biennial report is not only a document for meeting its international obligations, it is also a framework for risk transfer and sustainability. Climate risks are accelerating in Nepal and it is imperative that the insurance sector plays a decisive role in ensuring financial security.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Kathmandu. Nepal&#8217;s first biennial transparency report under the Paris Agreement published last April has clearly outlined Nepal&#8217;s climate risks, greenhouse gas emissions, adaptation strategies and financial needs. The report posted on the website of the Ministry of Forest has given a strong message to the insurance industry and global reinsurers to play an active role [&hellip;]<\/p>\n","protected":false},"author":5,"featured_media":288064,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[45031,45067,45159,45102],"tags":[],"class_list":["post-288066","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-banner-news-en","category-important-en","category-news-en","category-reinsurance-en"],"acf":[],"_links":{"self":[{"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/288066","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/comments?post=288066"}],"version-history":[{"count":1,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/288066\/revisions"}],"predecessor-version":[{"id":288067,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/288066\/revisions\/288067"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/media\/288064"}],"wp:attachment":[{"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/media?parent=288066"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/categories?post=288066"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/tags?post=288066"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}