The Insurance Commission said Thursday it aims to roll out the Philippines’ first private sector-led catastrophe insurance facility in the first quarter to heighten the country’s financial resilience against natural disasters.
IC Commissioner Dennis Funa said the agency worked together with the National Reinsurance Corp. of the Philippines and the Philippine Insurers and Reinsurers’ Association to finalize the Philippine Catastrophe Insurance Facility which would allow non-life insurers to cede their catastrophe risks to this insurance pool or facility.
The PCIF, which will then share the pooled risks back to the non-life insurers, will enable companies to more efficiently manage catastrophe exposures and boost capacity to take in more catastrophe risks.
“We recognize the significant role that the non-life insurance industry should play in ensuring the Philippines’ catastrophe resilience and in bridging the catastrophe insurance gap that we need to urgently address as our country is among the most vulnerable to the onslaught of natural calamities,” Funa said during a presentation of the IC’s 2021 plans and targets to Finance Secretary Carlos Dominguez III.
