Disaster Risk Financing and Insurance Program

The financial losses caused by natural disasters continue to rise, and developing countries experience the greatest impacts. Natural disasters generate significant fiscal risk and create major budget volatility. Even countries with robust disaster risk management programs can still be highly exposed to the economic and fiscal shocks caused by major disasters. The Disaster Risk Financing and Insurance Program (DRFIP) helps countries ensure that their populations are financially protected in the event of a disaster. Through funding and expertise, DRFI supports countries to develop and implement tailored financial protection strategies that increase the ability of national and local governments, homeowners, businesses, agricultural producers, and low income populations to respond more quickly and resiliently to disasters. 

How We Work

The DRFIP works through four main areas to help increase the ability of national and local governments, homeowners, businesses, agricultural producers, and low-income populations to respond more quickly and resiliently to disasters: 

1. Sovereign Disaster Risk Finance: Increases the financial response capacity of national and subnational governments to meet post-disaster funding needs without compromising fiscal balances and development objectives.
2. Market Development: Strengthens governments’ ability to implement policy measures for creating an enabling environment for private market development that contributes to greater financial resilience against disasters.
3. Analytics: Strengthens the capacity of governments to take informed decisions on disaster risk finance, based on sound financial/actuarial analysis
4. Knowledge Management & Global Partnerships: Supports stakeholders with information that will lead to and inform actions in support of building financial resilience.