Disaster Risk Finance – APEC roadmap for resilient economies (JOYCE BALANCIO / UNTV News)
NEGROS OCCIDENTAL, Philippines — On the first day of Asia-Pacific Economic Cooperation or APEC’s international forum in Bacolod City, the discussions focused on micro insurance and disaster risk financing as tools in achieving resiliency in all APEC economies.
Micro insurance is a financial relief given to low-income individuals who faced unexpected calamities, accidents and health emergencies.
According to Commissioner of Insurance Commission Emmanuel Dooc, it has already been proven that micro insurance help countries that constantly face the adverse effects of calamities, such as the Philippines.
In fact, micro insurance secured the rehabilitation of thousands of lives devastated by typhoon Yolanda last 2013.
From a low premium ranging from 5,000 pesos to 10,000, the insurances covered the reconstruction of homes of typhoon victims.
Commissioner Dooc said that the frequent calamities the country experiences every year pushed some to secure insurance policies.
“There is a significant distinction between individuals with insurance coverage pre-Yolanda, and post-Yolanda. When people suffer from disasters and calamities, it makes them realize the critical importance of getting an insurance cover.”
Commissioner Dooc also said the Philippines is leading in terms of number of citizens covered by insurance policies.
From the 66 million insurance-holders around the world, 27.9 million or almost 50% are Filipinos.
“Our contribution to APEC will be our experience in implementing our micro insurance, which is our principal tool to achieve financial inclusion,” the IC commissioner said.
In return, Micro Insurance Network Chair Michael McCord, acknowledged the country as a perfect example of how micro insurance is helping in building resiliency.
“It’s really in my opinion the best example across the globe of micro insurance. Here you have 30% of people in the Philippines covered by micro insurance, almost 30%. That’s incredible,” Mr. Mccord said.
(JOYCE BALANCIO / UNTV News)