Glossary

Risk transfer

When disaster risk is shifted to insurers or capital markets.

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This report offers an in-depth assessment of pre-arranged financing tools using seven key criteria for ensuring pre-arranged financing reduces the human and financial costs of disasters

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other key terms

Shock-responsive social protection

Social protection systems adapted to scale quickly when large shocks affect many people.

Official development assistance (ODA)

Public aid supporting development and welfare in eligible countries, usually on concessional terms.

International premium support

Premium support is international funding to pay for insurance premiums.

Risk retention

When governments retain and finance disaster costs themselves.

Risk profile

Underlying risks that an organisation or country is exposed to and the extent to which they are mitigated by pre-arranged finance.

Preparedness

Skills, systems and resources developed to respond effectively to likely future crises.