Marshall Islands : Disaster Risk Financing and Insurance
This note aims to build understanding of the existing disaster risk financing and insurance (DRFI) tools in use in The Marshall Islands and to identify gaps where potential engagement could further develop financial resilience. The likelihood that...
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| Format: | Report |
| Language: | English en_US |
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Washington, DC
2015
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| Online Access: | http://documents.worldbank.org/curated/en/2015/02/24157734/marshall-islands-country-note-disaster-risk-financing-insurance http://hdl.handle.net/10986/21692 |
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okr-10986-21692 |
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oai_dc |
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Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ADB ASSET VALUE ASSET VALUES BANK DEBT BONDS BORROWING CAPACITY BUDGETARY PROCESSES CAPITAL MARKETS CASH RESERVES CASUALTIES CATASTROPHE BONDS CATASTROPHIC EVENTS CENTRAL GOVERNMENT DEBT CLIMATE CHANGE CONTINGENCY PLANNING COUNTRY RISK CREDIT ARRANGEMENTS CREDIT LINES CURRENCY DAMAGE ASSESSMENT DAMAGES DEBRIS REMOVAL DEBT SERVICING DEBT-SERVICE DECLARATION DERIVATIVES DEVELOPMENT BANK DISASTER DISASTER ASSISTANCE DISASTER EMERGENCY DISASTER EMERGENCY RESPONSE DISASTER INSURANCE DISASTER MANAGEMENT DISASTER PREPAREDNESS DISASTER RECONSTRUCTION DISASTER REDUCTION DISASTER RESPONSE DISASTER RISK DISASTER RISK REDUCTION DISASTER RISKS DISASTER VICTIMS DISBURSEMENT DISBURSEMENTS DOMESTIC CREDIT DROUGHT DROUGHTS EARTHQUAKE EARTHQUAKES ECONOMIC ASSISTANCE EMERGENCY RESPONSE EXPENDITURE EXPENDITURES EXTERNAL DEBT EXTREME EVENTS FATALITIES FINANCIAL INSTRUMENTS FINANCIAL MANAGEMENT FINANCIAL MARKETS FINANCIAL RISK FINANCIAL SUPPORT FINANCING REQUIREMENTS FIRE FLOODING FOOD SECURITY FOREIGN AFFAIRS FORMS OF CREDIT FUNGIBLE GOVERNMENT BONDS GOVERNMENT EXPENDITURE GOVERNMENT EXPENDITURES GOVERNMENT REVENUE GRANT FUNDING GROSS DOMESTIC PRODUCT HOLDING HOUSING HUMANITARIAN ASSISTANCE INCOME STREAM INDEBTED COUNTRIES INDEMNITY INSTRUMENT INSURANCE INSURANCE INDUSTRY INSURANCE MARKET INSURANCE MARKETS INSURANCE PENETRATION INSURANCE PREMIUM INSURERS INTERNATIONAL BANK INTERNATIONAL DEVELOPMENT INTERNATIONAL INSURANCE INTERNATIONAL RELIEF INTERNATIONAL STRATEGY FOR DISASTER REDUCTION INVENTORY ISSUANCE LAWS LIFE INSURANCE LIFE INSURANCE PREMIUM LIQUIDITY LIVING STANDARDS LOAN LOCAL BUSINESSES LOCAL NONGOVERNMENTAL ORGANIZATIONS MACROECONOMIC STABILIZATION MEDICAL SUPPLIES MEDICINE NATIONAL EMERGENCY NATIONAL INVESTMENT NATURAL CATASTROPHE NATURAL DISASTER NATURAL DISASTERS NATURAL HAZARDS NEGOTIATION OPPORTUNITY COST PHYSICAL DAMAGE PORTFOLIOS PRINCIPAL REPAYMENTS PUBLIC ASSETS PUBLIC DEBT PUBLIC FUNDS PUBLIC SPENDING REINSURANCE RELIEF RELIEF SUPPLIES RELIEF WORK RENEGOTIATION RESERVE RESERVE FUND RESERVES RETURN RETURNS RISK ANALYSIS RISK ASSESSMENT RISK FACTORS RISK MANAGEMENT RISK PROFILE RISK PROFILES SAFETY SAFETY NET SITUATION REPORT SOVEREIGN RISK STORM SUBSIDIARY SWAP SWAPS TAX TAX CREDITS TAX INCENTIVES TECHNICAL ASSISTANCE TECTONIC PLATES TIDAL WAVES TROPICAL CYCLONE TROPICAL CYCLONES TROPICAL STORMS TSUNAMI TSUNAMIS TYPHOON TYPHOONS UNDERWRITERS WAGES WIND SPEED WIND SPEEDS |
| spellingShingle |
ADB ASSET VALUE ASSET VALUES BANK DEBT BONDS BORROWING CAPACITY BUDGETARY PROCESSES CAPITAL MARKETS CASH RESERVES CASUALTIES CATASTROPHE BONDS CATASTROPHIC EVENTS CENTRAL GOVERNMENT DEBT CLIMATE CHANGE CONTINGENCY PLANNING COUNTRY RISK CREDIT ARRANGEMENTS CREDIT LINES CURRENCY DAMAGE ASSESSMENT DAMAGES DEBRIS REMOVAL DEBT SERVICING DEBT-SERVICE DECLARATION DERIVATIVES DEVELOPMENT BANK DISASTER DISASTER ASSISTANCE DISASTER EMERGENCY DISASTER EMERGENCY RESPONSE DISASTER INSURANCE DISASTER MANAGEMENT DISASTER PREPAREDNESS DISASTER RECONSTRUCTION DISASTER REDUCTION DISASTER RESPONSE DISASTER RISK DISASTER RISK REDUCTION DISASTER RISKS DISASTER VICTIMS DISBURSEMENT DISBURSEMENTS DOMESTIC CREDIT DROUGHT DROUGHTS EARTHQUAKE EARTHQUAKES ECONOMIC ASSISTANCE EMERGENCY RESPONSE EXPENDITURE EXPENDITURES EXTERNAL DEBT EXTREME EVENTS FATALITIES FINANCIAL INSTRUMENTS FINANCIAL MANAGEMENT FINANCIAL MARKETS FINANCIAL RISK FINANCIAL SUPPORT FINANCING REQUIREMENTS FIRE FLOODING FOOD SECURITY FOREIGN AFFAIRS FORMS OF CREDIT FUNGIBLE GOVERNMENT BONDS GOVERNMENT EXPENDITURE GOVERNMENT EXPENDITURES GOVERNMENT REVENUE GRANT FUNDING GROSS DOMESTIC PRODUCT HOLDING HOUSING HUMANITARIAN ASSISTANCE INCOME STREAM INDEBTED COUNTRIES INDEMNITY INSTRUMENT INSURANCE INSURANCE INDUSTRY INSURANCE MARKET INSURANCE MARKETS INSURANCE PENETRATION INSURANCE PREMIUM INSURERS INTERNATIONAL BANK INTERNATIONAL DEVELOPMENT INTERNATIONAL INSURANCE INTERNATIONAL RELIEF INTERNATIONAL STRATEGY FOR DISASTER REDUCTION INVENTORY ISSUANCE LAWS LIFE INSURANCE LIFE INSURANCE PREMIUM LIQUIDITY LIVING STANDARDS LOAN LOCAL BUSINESSES LOCAL NONGOVERNMENTAL ORGANIZATIONS MACROECONOMIC STABILIZATION MEDICAL SUPPLIES MEDICINE NATIONAL EMERGENCY NATIONAL INVESTMENT NATURAL CATASTROPHE NATURAL DISASTER NATURAL DISASTERS NATURAL HAZARDS NEGOTIATION OPPORTUNITY COST PHYSICAL DAMAGE PORTFOLIOS PRINCIPAL REPAYMENTS PUBLIC ASSETS PUBLIC DEBT PUBLIC FUNDS PUBLIC SPENDING REINSURANCE RELIEF RELIEF SUPPLIES RELIEF WORK RENEGOTIATION RESERVE RESERVE FUND RESERVES RETURN RETURNS RISK ANALYSIS RISK ASSESSMENT RISK FACTORS RISK MANAGEMENT RISK PROFILE RISK PROFILES SAFETY SAFETY NET SITUATION REPORT SOVEREIGN RISK STORM SUBSIDIARY SWAP SWAPS TAX TAX CREDITS TAX INCENTIVES TECHNICAL ASSISTANCE TECTONIC PLATES TIDAL WAVES TROPICAL CYCLONE TROPICAL CYCLONES TROPICAL STORMS TSUNAMI TSUNAMIS TYPHOON TYPHOONS UNDERWRITERS WAGES WIND SPEED WIND SPEEDS World Bank Marshall Islands : Disaster Risk Financing and Insurance |
| geographic_facet |
East Asia and Pacific Marshall Islands |
| description |
This note aims to build understanding of
the existing disaster risk financing and insurance (DRFI)
tools in use in The Marshall Islands and to identify gaps
where potential engagement could further develop financial
resilience. The likelihood that a hazardous event will have
a significant impact on the Marshall Islands has risen with
the increasing levels of population and assets in the urban
areas of Majuro and Ebeye. The low-lying atolls are at risk
of damage to both assets and people as a result of storm
surges and tsunamis. The Marshall Islands is expected to
incur, on average over the long term, annual losses of US$3
million due to earthquakes and tropical cyclones. In the
next 50 years, the Marshall Islands has a 50 percent chance
of experiencing a loss exceeding US$53 million. The
government takes an ex-ante approach to financing the cost
of disasters, but the resources available are limited. The
Marshall Islands has a maximum amount of US$15.6 million
potentially available in ex-ante instruments to facilitate
disaster response. The government s post-disaster budget
execution process relies on a variety of financial tools,
but the size of the economy limits access to immediate
post-disaster cash resources. A number of options for
improving disaster risk financing and insurance are
presented here for consideration: (a) develop an integrated
disaster risk financing and insurance strategy; (b) assess
the domestic insurance market for both public and private
assets to establish what products are currently offered and
to determine their level of uptake; (c) carry out a
quantitative analysis to determine whether contingent credit
could be an effective tool to access additional liquidity
post-disaster; and (d) investigate the possibility of
establishing policies for financial assistance to disaster
victims in remote communities. |
| format |
Report |
| author |
World Bank |
| author_facet |
World Bank |
| author_sort |
World Bank |
| title |
Marshall Islands : Disaster Risk Financing and Insurance |
| title_short |
Marshall Islands : Disaster Risk Financing and Insurance |
| title_full |
Marshall Islands : Disaster Risk Financing and Insurance |
| title_fullStr |
Marshall Islands : Disaster Risk Financing and Insurance |
| title_full_unstemmed |
Marshall Islands : Disaster Risk Financing and Insurance |
| title_sort |
marshall islands : disaster risk financing and insurance |
| publisher |
Washington, DC |
| publishDate |
2015 |
| url |
http://documents.worldbank.org/curated/en/2015/02/24157734/marshall-islands-country-note-disaster-risk-financing-insurance http://hdl.handle.net/10986/21692 |
| _version_ |
1764448995425386496 |
| spelling |
okr-10986-216922021-04-23T14:04:04Z Marshall Islands : Disaster Risk Financing and Insurance World Bank ADB ASSET VALUE ASSET VALUES BANK DEBT BONDS BORROWING CAPACITY BUDGETARY PROCESSES CAPITAL MARKETS CASH RESERVES CASUALTIES CATASTROPHE BONDS CATASTROPHIC EVENTS CENTRAL GOVERNMENT DEBT CLIMATE CHANGE CONTINGENCY PLANNING COUNTRY RISK CREDIT ARRANGEMENTS CREDIT LINES CURRENCY DAMAGE ASSESSMENT DAMAGES DEBRIS REMOVAL DEBT SERVICING DEBT-SERVICE DECLARATION DERIVATIVES DEVELOPMENT BANK DISASTER DISASTER ASSISTANCE DISASTER EMERGENCY DISASTER EMERGENCY RESPONSE DISASTER INSURANCE DISASTER MANAGEMENT DISASTER PREPAREDNESS DISASTER RECONSTRUCTION DISASTER REDUCTION DISASTER RESPONSE DISASTER RISK DISASTER RISK REDUCTION DISASTER RISKS DISASTER VICTIMS DISBURSEMENT DISBURSEMENTS DOMESTIC CREDIT DROUGHT DROUGHTS EARTHQUAKE EARTHQUAKES ECONOMIC ASSISTANCE EMERGENCY RESPONSE EXPENDITURE EXPENDITURES EXTERNAL DEBT EXTREME EVENTS FATALITIES FINANCIAL INSTRUMENTS FINANCIAL MANAGEMENT FINANCIAL MARKETS FINANCIAL RISK FINANCIAL SUPPORT FINANCING REQUIREMENTS FIRE FLOODING FOOD SECURITY FOREIGN AFFAIRS FORMS OF CREDIT FUNGIBLE GOVERNMENT BONDS GOVERNMENT EXPENDITURE GOVERNMENT EXPENDITURES GOVERNMENT REVENUE GRANT FUNDING GROSS DOMESTIC PRODUCT HOLDING HOUSING HUMANITARIAN ASSISTANCE INCOME STREAM INDEBTED COUNTRIES INDEMNITY INSTRUMENT INSURANCE INSURANCE INDUSTRY INSURANCE MARKET INSURANCE MARKETS INSURANCE PENETRATION INSURANCE PREMIUM INSURERS INTERNATIONAL BANK INTERNATIONAL DEVELOPMENT INTERNATIONAL INSURANCE INTERNATIONAL RELIEF INTERNATIONAL STRATEGY FOR DISASTER REDUCTION INVENTORY ISSUANCE LAWS LIFE INSURANCE LIFE INSURANCE PREMIUM LIQUIDITY LIVING STANDARDS LOAN LOCAL BUSINESSES LOCAL NONGOVERNMENTAL ORGANIZATIONS MACROECONOMIC STABILIZATION MEDICAL SUPPLIES MEDICINE NATIONAL EMERGENCY NATIONAL INVESTMENT NATURAL CATASTROPHE NATURAL DISASTER NATURAL DISASTERS NATURAL HAZARDS NEGOTIATION OPPORTUNITY COST PHYSICAL DAMAGE PORTFOLIOS PRINCIPAL REPAYMENTS PUBLIC ASSETS PUBLIC DEBT PUBLIC FUNDS PUBLIC SPENDING REINSURANCE RELIEF RELIEF SUPPLIES RELIEF WORK RENEGOTIATION RESERVE RESERVE FUND RESERVES RETURN RETURNS RISK ANALYSIS RISK ASSESSMENT RISK FACTORS RISK MANAGEMENT RISK PROFILE RISK PROFILES SAFETY SAFETY NET SITUATION REPORT SOVEREIGN RISK STORM SUBSIDIARY SWAP SWAPS TAX TAX CREDITS TAX INCENTIVES TECHNICAL ASSISTANCE TECTONIC PLATES TIDAL WAVES TROPICAL CYCLONE TROPICAL CYCLONES TROPICAL STORMS TSUNAMI TSUNAMIS TYPHOON TYPHOONS UNDERWRITERS WAGES WIND SPEED WIND SPEEDS This note aims to build understanding of the existing disaster risk financing and insurance (DRFI) tools in use in The Marshall Islands and to identify gaps where potential engagement could further develop financial resilience. The likelihood that a hazardous event will have a significant impact on the Marshall Islands has risen with the increasing levels of population and assets in the urban areas of Majuro and Ebeye. The low-lying atolls are at risk of damage to both assets and people as a result of storm surges and tsunamis. The Marshall Islands is expected to incur, on average over the long term, annual losses of US$3 million due to earthquakes and tropical cyclones. In the next 50 years, the Marshall Islands has a 50 percent chance of experiencing a loss exceeding US$53 million. The government takes an ex-ante approach to financing the cost of disasters, but the resources available are limited. The Marshall Islands has a maximum amount of US$15.6 million potentially available in ex-ante instruments to facilitate disaster response. The government s post-disaster budget execution process relies on a variety of financial tools, but the size of the economy limits access to immediate post-disaster cash resources. A number of options for improving disaster risk financing and insurance are presented here for consideration: (a) develop an integrated disaster risk financing and insurance strategy; (b) assess the domestic insurance market for both public and private assets to establish what products are currently offered and to determine their level of uptake; (c) carry out a quantitative analysis to determine whether contingent credit could be an effective tool to access additional liquidity post-disaster; and (d) investigate the possibility of establishing policies for financial assistance to disaster victims in remote communities. 2015-04-06T22:05:54Z 2015-04-06T22:05:54Z 2015-02 Report http://documents.worldbank.org/curated/en/2015/02/24157734/marshall-islands-country-note-disaster-risk-financing-insurance http://hdl.handle.net/10986/21692 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Washington, DC Economic & Sector Work Economic & Sector Work :: Policy Note East Asia and Pacific Marshall Islands |