
PCRIC Enhances its Footprint Through New Website
7 October 2021Pacific Catastrophe Risk Insurance Facility ACT 2016
18 October 2021The Pacific Catastrophe Risk Insurance Company (PCRIC) was invited to showcase its efforts in increasing the resilience of Pacific Island States at a panel session during COP26, held at the Resilience Hub.
A primary objective of the discussions centered on the essential interconnectedness and interdependency required when developing disaster risk financing instruments. CEO ‘Aholotu Palu participated in conversations about how organizations like PCRIC utilize insurance and disaster risk finance tools to adapt to climate change.
“Resilience is a fervent conversation topic these days and has become a dominant framing for policies and programs aimed at reducing vulnerability to extreme weather and natural hazards; promoting climate change adaptation and strengthening countries’ abilities to manage risk,” he stated.
The panel session, titled ‘Building Financial Resilience in the Pacific,’ took place on November 3rd and was hosted by the United Nations Capital Development Fund (UNCDF), United Nations University Institute for Environment and Human Security (UNUEHS), and United Nations Development Programme (UNDP).
With adaptation and resilience at the forefront of the agenda, panel participants explored best practices, new opportunities, and strategies to amplify messages globally at COP26, paving the way for future action beyond the climate change summit.
Mr. Palu discussed PCRIC’s initiatives under the theme ‘Finance & Pacific Regional Hub,’ highlighting the company’s innovative financial and technical solutions to help Pacific Island Countries (PICs) manage their disaster risks and build financial resilience.
“We are supporting countries in developing their own national Disaster Relief Fund strategies by mapping out all the available financial instruments. For example, budget reserves, contingency funds/credit, savings facilities, and both traditional and parametric insurance. We ensure that these instruments complement each other, based on a comprehensive assessment of the risks each country faces,” he explained.
A significant topic on his agenda was the rising demand for enhanced technical understanding from the PICs. Mr. Palu noted, “Member nations are beginning to recognize the gaps in their knowledge base regarding these solutions and are increasingly seeking advisory support from PCRIC, while also aiming to upskill their teams and local resources.”
He also highlighted the advantages of risk pooling, where multiple nations share their risks, often moving from being considered ‘uninsurable’ or ‘cost prohibitive’ to being part of a more appealing group for both donors and insurers.
“Risk pooling is an incredibly powerful tool for achieving more proactive Disaster Risk Management. It streamlines donor support after a disaster, mobilizes resources to provide parametric coverage with speedy payouts, and encourages long-term development gains. At the same time, it gives countries more autonomy to ensure post-disaster funding is used effectively,” he remarked.
Positioned to play a critical role in the disaster risk management (DRM) arena, PCRIC utilized the COP26 platform to articulate its capabilities and the benefits it offers to the Pacific island nations.
As a dedicated regional provider of specialist disaster risk finance services, PCRIC is owned by the island nations of the Pacific. The company delivers technical assistance, specialized collaborations, and innovative products to help the Blue Pacific Continent better prepare, structure, and manage finances for disaster resilience. Ultimately, this ensures rapid access to unencumbered liquid funds in post-disaster situations when nations need it the most.
For more information, please contact:
ceo@pcric.org or aholotupalu@yahoo.co.uk