Kathmandu. Zurich Insurance Group has called for investment in disaster prevention strategy.
Zurich Insurance’s report titled ‘Climate Risks: A Strategy to Build Resilience in a More Volatile World’ has made this call. Zurich Insurance has also urged to initiate potential efforts to address the growing financial and structural risks from extreme weather and natural disasters. Zurich Insurance warned that the industry’s role in supporting recovery and resilience amid rising losses may not be in tune with insurance coverage.
According to the report, the International Chamber of Commerce has revealed that storms, floods and wildfires have caused nearly $2 trillion in economic losses over the past decade. “The frequency and severity of these events are increasing, possibly due to long-term climate changes such as changes in temperature, sea level rise, and changes in rainfall patterns,” the report said.
Alison Martin, CEO of EMEA and Bank Distribution in Zurich, said the insurance industry can support resilience through risk management and by facilitating the capital needed to invest in infrastructure. However, she stressed the need for immediate collective action from the government, insurers and the community.
There are three main suggestions for policymakers in the report.
##inline_tags_PLACEHOLDER_10 ##पहिलोः# is invested in risk prevention. These include a strong building code, good urban planning and a national strategy based on scientific research and data analysis.
दोस्रोः Improving access and affordability of insurance through a policy framework that encourages competition and innovation.
#inline_tags_PLACEHOLDER_11##तेस्रोःinline_tags_PLACEHOLDER_13##उच्च suggested development of public-private risk sharing mechanisms such as mixed finance and reinsurance bridges to increase insurance availability in risk areas. – Agency
