Parametric Insurance Pilot

Parametric Insurance Pilot
The Parametric Insurance Pilot implemented by the Department of Finance (DOF), Government Service Insurance System (GSIS), and the World Bank (WB) allows 25 provinces to access quick-disbursing payouts based on the estimated loss triggers determined through the Philippines’ Catastrophic Risk Model. The ₱1 billion insurance fund also facilitates better response of these provinces to calamities through easier access to funds without a lengthy claims process. This new insurance program will support the country in responding to impacts of severe natural disasters. It acts as the last line of defense, complementing other funding sources such as the national and local disaster risk reduction management funds and contingent credit that protect against less severe natural disasters. This Project significantly contributes to SDG Goal 11 (Sustainable cities and communities) specifically in increasing the capacity of provinces to respond to disasters.