Home » Posts tagged 'Caribbean Catastrophe Risk Insurance Facility'

Tag Archives: Caribbean Catastrophe Risk Insurance Facility

All 16 CCRIF member countries renew hurricane and earthquake insurance for 2013/2014

Cave Karst

The sixteen member governments of the Caribbean Catastrophe Risk Insurance Facility (CCRIF) renewed their hurricane and earthquake insurance for the 2013/14 policy year that started June 1. Since CCRIF’s inception in 2007 – and despite increasing economic and financial pressures – member countries have recognised the value of including CCRIF’s parametric hurricane and earthquake coverage in their national disaster risk management strategies.

This year was no different, especially given that the US National Oceanic and Atmospheric Administration (NOAA) predicted an active 2013 Atlantic Hurricane Season with more and stronger hurricanes than usual. For the six-month hurricane season, which began June 1, NOAA stated there was a 70 percent likelihood of 13 to 20 named storms – well above the seasonal average of 12 named storms.

In light of the budgetary constraints felt by countries across the region, CCRIF sought again this year to minimise premium costs. For the 2013/14 policies, CCRIF provided a 25% discount on premiums because no payouts were made by CCRIF in 2012/13, resulting in an underwriting surplus for the organisation, which is run as a not-for-profit entity. Also, countries could apply a portion of their Participation Fee (a deposit paid when they initially became a CCRIF member) toward their premium payment and had the option to lower the minimum attachment point for tropical cyclones (hurricanes) from a fifteen-year to a ten-year return period. These all led to a reduction in the effective cost of coverage to countries this year by at least 25% but in some cases up to 50%.

The Facility also added the new excess rainfall product to its portfolio of offerings to Caribbean governments for 2013/14. This product specifically covers extreme rainfall events, from both cyclonic systems and from non-cyclonic systems. It should be noted that rainfall is not included in CCRIF’s current hurricane policies, which trigger based on damage from wind and storm surge. Many countries have consistently expressed interest in excess rainfall coverage and in fact, the new product is of interest to countries which are not yet CCRIF members since they are not vulnerable to hurricanes or earthquakes but have significant extreme rainfall risk.

CCRIF recognises that rainfall is a leading cause of damage in the Caribbean – not only during hurricanes but throughout the year, and is seeking ways to enable countries in the region to obtain this coverage. Earlier this year, CCRIF, in collaboration with the Caribbean Development Bank, Sustainability Managers held a meeting with international development partners to explore ways in which they could support the roll-out of this product. These donors were very interested and committed to examine how they could provide support.

Since the inception of CCRIF in 2007, the Facility has made eight payouts totalling over US$32 million to seven member governments on their hurricane or earthquake policies. All payouts were transferred to the respective governments within 14 days after each event.

The payouts made by CCRIF since 2007 are listed below.

 Event                                      Country               Payouts ($US)

Earthquake, 29/11/07                Dominica                           528,021

Earthquake, 29/11/07                Saint Lucia                        418,976

Tropical Cyclone Ike, 09/08   Turks & Caicos Islands    6,303,913

Earthquake, 12/01/10                   Haiti                             7,753,579

Tropical Cyclone Earl, 08/10       Anguilla                       4,282,733

Tropical Cyclone Tomas, 10/10  Barbados                     8,560,247

Tropical Cyclone Tomas, 10/10   Saint Lucia                  3,241,613

Total for the Period 2007 – 2012     —                           32,179,470

For more information, please send an email to or visit the CCRIF website at

Source: CCRIF Press Release

CCRIF trains Caribbean experts on its Real-Time Forecasting System



Over a two-day period, August 14 – 15, 25 meteorologists and disaster managers from across the region received training in the Caribbean Catastrophe Risk Insurance Facility’s (CCRIF’s) Real-Time Forecasting System (RTFS). The RTFS is an innovative forecasting tool which is designed to assist countries with pre-storm planning. This is the third year that this course has been offered, and is conducted in collaboration with the Caribbean Institute of Meteorology and Hydrology (CIMH), Kinetic Analysis Corporation (KAC) and the Caribbean Disaster Emergency Management Agency (CDEMA). To date, 150 persons have participated in the training course.

The RTFS is unique in that it provides information not available from other hurricane weather sources or forecasting systems. While all hurricane weather sites tell the user where the storm is heading and how strong it is likely to be, the RTFS tells the user what the storm is likely to do when it gets there – in terms of wind speed over land, storm surge and wave heights along the coast, total expected rainfall, number of people that may be affected by wind speed category, expected general damage levels, and expected down-time for ports and airports.

By providing advance knowledge of a hurricane’s expected site-specific impacts, the RTFS can assist meteorological officers and disaster management coordinators to support effective preparedness and response, decision making about potential evacuations and shelter management, planning for pre-positioning of equipment and supplies, activation of mutual assistance arrangements and management of assets as well as for contingency planning to secure critical infrastructure and operations.

This tool is available to CCRIF member countries and it is used by meteorological officers and disaster managers as well as officials from ministries of planning, tourism, agriculture and finance and also by persons from international development agencies working in disaster management. Currently, over 300 persons have been provided with access to the RTFS.

The usefulness of the RTFS was articulated last year by Mr. Fabrice Recault, GIS Coordinator for the World Food Programme-operated Logistics Cluster of the United Nations post-earthquake response mechanism in Haiti when he declared:

I confirm that I will use your fabulous service during the 2012 hurricane season. It’s one of the most important sources of information during hurricane or tropical storm alerts here in Haiti.

The 2013 Atlantic Hurricane Season is well underway with four named storms having already affected the region and with the peak of the season (mid-August to October) still to come. The US National Oceanic and Atmospheric Administration (NOAA) expects a 70 percent chance of an above-normal season with a total of 13 to 19 named storms, including six to nine hurricanes, of which three to five could be major (Category 3 to 5).

About CCRIF: CCRIF is a not-for-profit risk pooling facility, owned, operated and registered in the Caribbean for Caribbean governments. It is designed to limit the financial impact of catastrophic hurricanes and earthquakes to Caribbean governments by quickly providing short-term liquidity when a policy is triggered. It is the world’s first regional fund utilizing parametric insurance, giving Caribbean governments the unique opportunity to purchase earthquake and hurricane catastrophe coverage with lowest-possible pricing. CCRIF represents a paradigm shift in the way governments treat risk, with Caribbean governments leading the way in pre-disaster planning. 
CCRIF was developed through funding from the Japanese Government, and was capitalised through contributions to a multi-donor Trust Fund by the Government of Canada, the European Union, the World Bank, the governments of the UK and France, the Caribbean Development Bank and the governments of Ireland and Bermuda, as well as through membership fees paid by participating governments.Since the inception of CCRIF in 2007, the Facility has made eight payouts totaling US$32,179,470 to seven member governments. All payouts were transferred to the respective governments within two weeks after each event.

For more information, please contact CCRIF Corporate Communications Manager at or visit the CCRIF website at

Credit: CCRIF Press Release.

CCRIF’s 2013 Extra-Regional Scholarship Opens

The Caribbean Catastrophe Risk Insurance Facility (CCRIF) opened its 2013 Extra-Regional Scholarship application process this week. Through its Scholarship/Professional Development Programme of the wider CCRIF Technical Assistance (TA) Programme, CCRIF will provide a maximum of two scholarships annually for citizens of CARICOM member countries and/or CCRIF member countries who are desirous of pursuing a Masters or an MBA programme in one of the areas identified below which are not available at regional universities but which are available at universities in the United Kingdom, United States or Canada:

-(Catastrophe) Risk Management
-Property/Casualty Insurance
-Climate Change
-Other hazard/disaster related disciplines
-MBA programme with a major in risk management and/or insurance or a related field

The scholarships are valued at a maximum of US$40,000 each and are specifically for those applicants who would have gained admission to a Masters level programme or an MBA programme fitting the eligibility criteria above.

Last year, CCRIF provided two extra-regional scholarships to students to pursue a Masters in Public Administration in Environmental Science and Policy at Columbia University in the United States of America and an MSc in Climate Change and Development at the University of Sussex in the United Kingdom.

CCRIF’s TA Programme has been developed to help countries in the region deepen their understanding of natural hazards and catastrophe risk and the potential impacts of climate change. The scholarship component of the TA programme is designed to assist with the creation of a cadre of professionals who can play a key role in developing national and regional strategies that will lead to improved disaster risk management and increased climate change resilience.

Since 2010, CCRIF has awarded nineteen scholarships to students through its Extra-Regional Scholarship Programme, the University of the West Indies (UWI)-CCRIF scholarship programme and cooperation with member countries and regional organisations. Total disbursements to date are in excess of US$200,000.

For information on the scholarships and instructions on how to apply, applicants should visit the CCRIF extra-regional scholarship website at or send an email with their enquiry to

CCRIF 2013 Extra-Regional Scholarship Flyer
Source: CCRIF Press Release.

%d bloggers like this: