What we do
The ASEAN DRFI Programme is a multi-sectoral cooperation mandated to implement the ASEAN Roadmap for Disaster Risk Financing and Insurance (DRFI). The Programme is designed by phase.
Phase 1 focuses on capacity building of the region and Member States in disaster risk information management, public policy development, and knowledge management.
Phase 2 will further enhance the capacities of Member States to:
- Mitigate disaster and climate risks;
- Manage disaster impacts through risk assessment and modeling, as well as through development of enabling institutional and policy frameworks that support risk financing and insurance solutions at the national and regional levels; and
- Establish cost- effective risk transfer schemes for ASEAN, such as a regional catastrophe risk insurance pool.
Phase 3 will establish a cost-effective risk transfer programme for ASEAN such as a regional catastrophe risk insurance pool, to enhance the financial resilience of Member States and ensure the long-term sustainable development of the region.
AT THE REGIONAL LEVEL:
- Develop disaster risk information and modeling systems to assess the economic and fiscal impacts of natural disasters including sharing of disaster risk data and information at the national level and acknowledge the ongoing efforts of the ACDM in the area of disaster risk assessment.
- Establish an inter-sectoral mechanism on DRFI within ASEAN. The lead sector for this mechanism will still be determined. Each country is also encouraged to establish an interagency mechanism on DRFI.
- Strengthen regional cooperation on Disaster Risk Financing and Insurance. Some possible activities that can be done through the inter-sectoral cooperation may include:
- Regional capacity building activity on:
- Information and experience sharing, awareness and education on DRFI
- Sharing of experience among Member States on Fiscal Risk Management
- Explore to establish and invest, in collaboration with the private sector, a learning centre on DRFI
- Build linkages with other learning institutions, including AHA Centre, for experience and knowledge sharing to increase the level of awareness and education on DRFI
- Explore the possibility of a regional vehicle to facilitate access to international reinsurance and capital markets based on various studies on DRFI including:
- The ongoing study on disaster risk insurance being conducted by the Philippines and Japan under the ASEAN + 3 Cooperation
- Identify considerations and preconditions of pooling arrangements for DRFI at the regional level
- Support and collaborate with the ASEAN insurance officials in their work on exploring risk financing options and mechanisms that can be developed as part of the regional framework on disaster management and disaster risk reduction
- Determine other preconditions for strengthening regional cooperation on DRFI
- ASEAN Secretariat will continue to coordinate on this initiative, and will prepare a concept paper based on the results of the Forum and propose the mechanics for inter-sectoral cooperation to be circulated to ACDM. The ACDM National Focal Points would then consult their counterparts in the Finance and Insurance sectors in their respective countries.
AT THE NATIONAL LEVEL:
- Develop disaster risk financing and insurance strategies at the national and local levels
- Develop a national disaster risk financing program
- Explore the establishment of a National Disaster Fund
- Promote catastrophe risk insurance as part of the disaster risk reduction strategy
- Integrate financial inclusion strategies into the disaster risk management agenda of the country