Sovereign insurance
Sovereign insurance is insurance coverage purchased by a national government to protect its budget against the financial impacts of disasters. Under these arrangements, the government pays a premium and receives a payout when a predefined disaster trigger is met
This working paper presents a framework that compares contingent loans, grants from multilateral development banks, catastrophe bonds, and insurance provided through regional risk pools.
Read moreDisaster
A severe event causing widespread harm that exceeds a community’s ability to cope alone.
Index
A measurable indicator used to estimate losses and trigger financial payouts.
Other official flows (OOF)
Public funding supporting development that does not meet official aid definitions.
Disaster risk management
Policies and actions to reduce disaster risks, manage impacts and strengthen resilience.
Social protection
Policies and programmes designed to reduce and prevent poverty and vulnerability throughout the life cycle.
Financial Flows
Financial flows refer to the movement of funds for disaster risk reduction (DRR) and response, covering planned and unplanned sources.
