The Insurance Development Forum (IDF) recently announced a trio of key efforts launched during the IDF Summit 2022, which was convened at the Swiss Re Centre for Global Dialogue in Rüschlikon, Zurich, Switzerland on 13th and 14th June. The IDF is a public-private partnership led by the insurance industry and co-chaired with the United Nations Development Programme and the World Bank, and supported by international organisations.
The IDF Summit highlighted the urgent need to build better risk management and protection systems for all. The objective was to inspire, foster new ideas and catalyse positive action.
Three key announcements were made during the event:
1.Tripartite Project for Ghana Launched: The Ghana Ministry of Finance, the United Nations Development Programme (UNDP), the German Government, and the Insurance Development Forum (IDF), announced today the launch of a Tripartite project to develop a sovereign risk transfer scheme for urban floods in Ghana, alongside long-term investments in the country’s capacity to leverage and integrate insurance and risk financing into their development strategies.
2. The launch of the white paper: Insurance Development in Emerging Markets: The role of policy and regulation. This joint IDF and Geneva Association report offers a comprehensive look at how local legal, policy and regulatory frameworks can create the right environment for a thriving insurance market, which can ultimately help to close protection gaps in the most vulnerable countries. The report identifies how public-private partnerships can often achieve high impact results that cannot be achieved by one sector alone. It finds that key factors that drive insurance market development and close protection gaps are: sufficient political prioritisation of insurance, higher levels of financial and insurance literacy and risk awareness among all stakeholders, effective and efficient insurance regulation and supervision, increasing trust in insurance solutions.
3.Formal Launch of the IDF & V20 Global Risk Modelling Alliance (GRMA), co-funded by the German Federal Ministry for Economic Cooperation and Development and the IDF insurance industry members. An agreement to form the GRMA was a key announcement from COP26; furthering its operational delivery is part of the IDF’s commitment to V20 countries, and is a key action as we move towards the G7 and COP27 in Egypt, where adaptation and resilience are a key area of focus.
Michel M. Liès, Chairman of Zurich Insurance Group and Chair of the IDF Steering Committee, said:
“The IDF Summit 2022 gathered together members from industry, Government representatives, representatives from different United Nations agencies, the World Bank, international institutions and civil society. The actions highlighted at this event are testament to the power that collective action can have in the effort to build resilience to the impacts of climate change and other systemic shocks. We have heard inspirational speakers from governments, the humanitarian and the private sectors; we are listening and we are taking action.”