Statement delivered by Ms. Ekhosuehi Iyahen, Secretary General from the Insurance Development Forum (IDF)
V20 MINISTERIAL DIALOGUE X
16 April 2023
Ms. Ekhosuehi Iyahen, Secretary General, Insurance Development Forum (IDF) (Pre-recorded Intervention)
Thank you for the opportunity to speak during the high level V20 Ministerial Meeting in advancing a fit for climate architecture and development positive climate action.
Excellencies, I think that we’re all aware that climate and disaster risk understanding is an indispensable foundation for sovereign risk strategies that include resilience and investment, transfer of residual risk markets and disaster response programs that protect our citizens. Global forums have formally recognized that we must all get ahead of risks instead of being surprised after the event.
Over decades the insurance sector has developed risk insights and risk management as a strategic skill. Through a combination of financial technology, science partnerships, and global experience this expertise has created a capability that applies well beyond traditional indemnity insurance. The models and data generated will never be perfect, but they are extremely useful in reducing uncertainty and building the confidence that is so essential for mainstreaming climate risk finance.
The Insurance Development Forum, which is a public-private partnership led by the insurance industry and co-chaired with international organizations has as its central mandate the objective to optimize and extend the use of insurance and related risk management capabilities to build greater resilience and protection for people, communities, businesses and public institutions that are vulnerable to disasters and their associated economic shocks. That is why we are so pleased with the partnership that we have been able to develop with the V20 in line with this agenda and specifically in launching the Global Risk Modelling Alliance with the support of the government of Germany.
The Global Risk Modelling Alliance is an expression of true collaboration and where the principles of risk modeling as a public good is seen as a first step in unlocking finance for investment in resilience and reduction of protection gap. Similarly, local ownership of the risk analysis is central to the efforts of the Global Risk Modelling Alliance as it generates greater trust and confidence in decisions that are made as a result.