Scaling Parametric Insurance in Pacific Small Island Developing States Through Meso- Level Solutions

While instruments at micro, meso and macro levels have their distinct advantages and challenges, meso-level parametric insurance emerges as a promising and effective solution. Meso-level insurance refers to insurance designed for aggregators, which include institutions such as development banks, microfinance institutions, provident/pension funds, associations, and cooperatives.

Currently, there is limited experience with meso-level products in the Pacific. Therefore, this publication focuses on promoting these products through the UNCDF-led Pacific Insurance and Climate Adaptation Programme. These solutions aim not only to complement the Programme's micro-level initiatives but also the macro-level products provided by the Pacific Catastrophe Risk Insurance Company (PCRIC), where both national and local governments can serve as policyholders and insured parties.