Research and Evaluation PROJECTS
Every year, thousands of Filipinos are affected by natural disasters, losing their lives, livelihoods, and homes to severe weather events. Over several years, with support from the World Bank, the Government of the Philippines (GoP) has worked to provide financial protection for communities against such events. The Philippines parametric catastrophe risk insurance program represents a key milestone in these efforts. From 2017 to 2019, the GoP placed two parametric insurance policies on the international capital markets. The first policy (2017/2018) provided over $200 million in coverage for communities at risk of typhoons and earthquakes. The second policy (2018/2019), doubled this coverage. The program insured two types of coverage: one for 25 provincial governments against emergency losses from major typhoons and another for National Government Agencies against emergency losses from major typhoons and earthquakes for national government assets (based on losses in the 25 provinces). As part of the closeout process for the two-year pilot, the World Bank commissioned Kimetrica to conduct a Lessons Learned Evaluation to better understand the successes and challenges of the program. The results informed the growing evidence base on parametric insurance and was used to inform similar potential programs in other countries. The evaluation involved a desk review, key informant interviews with a variety program stakeholders, analysis of data, and a final report of lessons learned.