PCRIC Innovates with First Insurance for Private Foundation – Vatuvara Fiji
In partnership with Willis Towers Watson (WTW) and Fiji-based correspondent broker, Insurance Holdings (Pacific) Pte Ltd., the Vatuvara Foundation Fiji selected PCRIC via a rigorous selection process to administer a groundbreaking parametric insurance product.
Vatuvara Foundation is an NGO committed to protecting Fiji’s ocean, empowering local communities and inspiring young ocean advocates.
PCRIC’s collaboration partners, WTW, developed and introduced an inaugural coral reef insurance policy for Fiji’s Lau Group, recognized as one of the most susceptible and remote areas globally.
This product aims to offer rapid payouts after a tropical cyclone damages the reef. It covers costs for reef cleanup, restoration, and community aid to address food and water security concerns resulting from storm damage.
The rise in sea levels, warming of the oceans, acidification, and the growing occurrence of tropical cyclones pose significant threats to coral reefs. These challenges jeopardize the livelihoods of the Indigenous communities in the Lau region, who rely on the reef ecosystem for sustenance and economic stability.
The signing of the policy between PCRIC and the Vatuvara Foundation marks PCRIC’s first non-sovereign policy to protect the Lau Group’s reefs from climate impacts. Insurance Holdings Pacific representatives attended the signing.
This is also the first policy that PCRIC has issued that has a specific focus on the impact of disasters on nature. The landmark initiative sets a global precedent for coral reef conservation and climate adaptation.
The Fijian Government supported PCRIC, providing an official letter of support for issuing this specialized policy, aligning with PCRIC’s mission to enhance disaster resilience in its member countries.
This initiative paves the way for PCRIC to develop innovative new policies to protect coral reefs and other natural assets. Niue, one of PCRIC’s newest member countries, have already expressed interest in protecting Beveridge Reef which lies approximately 250km off the coast of the island country.
PCRIC CEO, Mr. Aholotu Palu said that, “PCRIC is proud to showcase its dedication to supporting non-sovereign entities through pioneering parametric insurance offerings. This initiative aligns with PCRIC’s core mission of aiding Pacific Island countries in enhancing disaster resilience and facilitating swift access to financial resources.”
“The commendable efforts of the Vatuvara Foundation, spanning reef conservation and community empowerment, have earned recognition from the Fijian Government for their alignment with national interests and developmental goals. These efforts resonate with Fiji’s Blue Pacific Strategy, as well as its commitments to climate change adaptation and disaster risk mitigation.”
