Willis and Rare partners to launch innovative insurance solution for fishers in the Philippines

Core Insights - The Philippines has launched its first parametric insurance solution aimed at protecting the livelihoods of 14,200 small-scale fishers, marking a significant step in climate risk management [1][3][4] Government and Partnerships - The initiative is a collaboration between the Bureau of Fisheries and Aquatic Resources (BFAR), the Philippine Crop Insurance Corporation (PCIC), global conservation organization Rare, and Willis, a WTW business [1][2] - Funding for the project comes from the Ocean Risk and Resilience Action Alliance (ORRAA), supported by the Governments of Canada and the UK [2][12] Insurance Details - The parametric insurance is designed to mitigate income losses due to adverse weather conditions, providing up to US$100 per policy cycle to offset income loss from dangerous weather [4][5] - The insurance utilizes a weather index based on wind speed, sea state, and rainfall to determine payout eligibility, ensuring timely compensation for lost fishing days [4][6] Impact on Fishers - The program aims to reduce financial pressure on fishing households and promote sustainable fishing practices, thereby enhancing the resilience of coastal communities [5][6] - BFAR will act as the policyholder, demonstrating government support for innovative climate risk solutions [4][6] Future Prospects - If successful, the pilot program could evolve into a nationally scalable tool for protecting coastal livelihoods, complementing existing insurance coverage [6]