GEORGETOWN, Cayman Islands, September 22, 2017 (CMC) – CCRIF SPC (formerly the Caribbean Catastrophe Risk Insurance Facility) will be making a payout of US$19,294,800 to Dominica, under its tropical cyclone policy, following the passage of Hurricane Maria, earlier this week.
In making the announcement, today, the CCRIF says the payout will be made, within 14 days of the hurricane.
CCRIF was designed to provide quick liquidity to governments of the Caribbean and Central America, following catastrophic impacts from tropical cyclones, earthquakes and excess rainfall.
Dominica also holds an excess rainfall policy with CCRIF, and assessments as to whether that policy was triggered, are ongoing and will be determined in the next few days.
This payout brings the total CCRIF payouts, since the start of the 2017 Atlantic Hurricane Season, to approximately US$50.7 million, and CCRIF’s payouts, since its inception in 2007, to approximately US$120 million.
“While we are saddened by the devastation from both tropical cyclones Irma and Maria, we continue to be pleased to support our member countries in their time of need, and are encouraged by the annual renewal of policies by our members. This provides some strong evidence that our model is a benefit to the region, as well as a template that can be adopted and adapted by other regions of the world,” said CEO of CCRIF, Isaac Anthony.
CCRIF is an example of an ex-ante financing instrument and allows immediate injections of liquidity in the aftermath of disasters, ensuring continuity of government operations and enabling critical infrastructure to be quickly restored and, most importantly, addressing humanitarian needs.
CCRIF SPC is a segregated portfolio company, owned, operated and registered in the Caribbean.
It limits the financial impact of catastrophic hurricanes, earthquakes and excess rainfall events to Caribbean and – since 2015 – Central American governments, by quickly providing short-term liquidity when a parametric insurance policy is triggered.
It is the world’s first regional fund, utilising parametric insurance, giving member governments the unique opportunity to purchase earthquake, hurricane and excess rainfall catastrophe coverage with lowest-possible pricing.
CCRIF was developed under the technical leadership of the World Bank and with a grant from the government of Japan.