2010 Articles

Final Version Zurich, 27th July 2010

Schwank, O.; Steinemann, M.; Bhojwani, H.; Norton, M.; Osgood, D.; Sharoff, J.; Bresch, D.; Spiegel, A.

Adaptation to climate change requires an integrated risk management approach, including risk
assessment, prevention and insurance. Insurance solutions can potentially provide a significant
contribution in expanding and strengthening adaptation response to climate change risks.
Numerous proposals and submissions under the United Nations Framework Convention on
Climate Change (UNFCCC) make reference to risk transfer and insurance solutions as a com-
plementary element of a systematic adaptation approach, but no consensus has been achieved
regarding their role and eventual implementation under UNFCCC.

This paper intends to raise awareness on existing work and the current challenges related to
climate relevant insurance, in developing countries and to contribute to a further discussion of
the insurance topic under UNFCCC.

Past experiences and discussions can provide a framework for larger policies on the role of
insurance in the emerging climate financing architecture. Further pilot implementation, research,
and systematic learning is required. Many of the elements such as data collection, research, ca-
pacity building and exploration of public private partnerships are valuable for achieving broader
adaptation objectives. It is therefore encouraged that the Parties further explore and define the
scope of insurance solutions as part of climate change adaptation.