South East Europe and Caucasus Catastrophe Risk Insurance Facility (Serbia and Macedonia)

closed

The objective of the South East Europe and Caucasus Catastrophe Risk Insurance Facility Project for Europe and Central Asia is to help increase access of homeowners, farmers, the enterprise sector, and government agencies to financial protection from losses caused by climate change and geological hazards. There are two components to the project, the first component being participation in the Southeast Europe and the Caucasus (SEEC) Catastrophe Risk Insurance Facility (CRIF). The program will support Southeast Europe and Caucasus (SEEC) countries' efforts to join Europa Reinsurance Facility, Ltd. (Europa Re) by financing their membership contributions to the Facility. Europa Re, in turn, will facilitate the growth of catastrophe risk insurance markets in member countries. During the program's first phase (this project) the component will be financed by International Bank for Reconstruction and Development (IBRD) loans to FYR Macedonia and Serbia. During the program's second phase, this component will be financed by International Development Association (IDA) credits to Bosnia and Herzegovina and Georgia and an IBRD loan to Montenegro. Finally, the second component is the technical assistance. This component, financed by donor funds and implemented by Europa Re, includes: (i) risk mapping and modeling for participating countries; (ii) design and pricing of appropriate catastrophe risk insurance products; (iii) small weather monitoring stations to support parametric weather insurance; and (iv) technical assistance for regulatory and policy reforms to create an enabling market environment.