Indemnity insurance
A (re)insurance contract which pays out compensation worth the ultimate net loss of a specific asset. This type of insurance can be useful in protecting high-value assets such as homes, where there is a relatively narrow scope of potential loss. Insurance payouts are determined based on an assessment of losses after an event has occurred (InsuResilience Global Partnership 2020).
This insight paper aims to support policymakers and practitioners as they seek to scale up financial protection against climate-related shocks through sovereign insurance solutions.
Read moreAccountability
Being responsible for decisions and resources, listening to affected people, and accepting consequences for actions taken.
Contingent liabilities
Possible financial obligations that only become real if specific future events occur.
Attachment point
The loss level above which a reinsurer begins paying under a reinsurance agreement.
Ex ante
Actions, decisions or financial arrangements made before a disaster or crisis occurs.
Social protection
Policies and programmes designed to reduce and prevent poverty and vulnerability throughout the life cycle.
Total crisis financing
Development funding focused mainly on crisis prevention, preparedness and response activities.
