Kathmandu. While disasters are becoming more frequent and costly, public-private insurance programs need to do more to reduce risk for them to be successful. <\/p>\n
A new study by the Geneva Association shows this. “Natural and man-made disasters, such as floods, bushfires, cyber-attacks, and pandemics, are becoming more frequent and severe,” the report said. This is putting pressure on traditional insurance models and government relief systems. That’s because uninsured losses are mounting and government finances are strained. \u2019<\/p>\n
During the study, the Geneva Association examined 14 public-private insurance programs (PPIPs). The study found that while many have helped stabilize the market and expand coverage, they will still face challenges. <\/p>\n
The report includes higher financial liability, the risk of private insurers exiting, and limited incentives for insurers to reduce risk. “An effective PPIP must balance the 4 key objectives of ensuring access to affordable coverage, safeguarding public finances, promoting private sector participation, and enabling timely claim payment,” the association said. \u2019<\/p>\n
According to Jad Aris, the organization’s managing director, such programs should focus on prevention and resilience beyond distributing insurance claims after a disaster. “They need to strengthen incentives to reduce risk and help societies recover faster,” he said. At the same time, the pressure on the government budget should also be reduced. \u2019<\/p>\n
Helen Scharrenberg, director of public policy and regulation, said policymakers need to take a structured approach when designing PPIP. This includes assessing safety gaps, prioritizing risk mitigation measures, reforming the private insurance market, and clearly communicating how much risk governments are willing to take. <\/p>\n
Geneva Association member companies are headquartered in 26 countries. They manage about $21 trillion in assets and provide protection to 2.6 billion people. “A strong integration of risk mitigation into the insurance framework will be critical to maintaining affordable and reliable disaster coverage,” the association said. \u2013Agency<\/p>\n","protected":false},"excerpt":{"rendered":"
Kathmandu. While disasters are becoming more frequent and costly, public-private insurance programs need to do more to reduce risk for them to be successful. A new study by the Geneva Association shows this. “Natural and man-made disasters, such as floods, bushfires, cyber-attacks, and pandemics, are becoming more frequent and severe,” the report said. This is […]<\/p>\n","protected":false},"author":16,"featured_media":253353,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[45031,45044,45159],"tags":[],"class_list":["post-296136","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-banner-news-en","category-international-news-en","category-news-en"],"acf":[],"_links":{"self":[{"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/296136","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\/16"}],"replies":[{"embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/comments?post=296136"}],"version-history":[{"count":1,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/296136\/revisions"}],"predecessor-version":[{"id":296137,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/296136\/revisions\/296137"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/media\/253353"}],"wp:attachment":[{"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/media?parent=296136"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/categories?post=296136"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/english.insurancekhabar.com\/ikbrapi\/wp\/v2\/tags?post=296136"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}