Climate risk adaptation and insurance in the Caribbean (Phase II)

The Climate Risk Adaptation and Insurance in the Caribbean (CRAIC II) project aims to refine, revive and upscale the Livelihood protection policy (LPP) - (launched in phase I) by making it affordable, valuable and reachable in the Caribbean region. The project also aims to help target countries increase social resilience and incentivize adaptation measures by incorporating climate risk insurance within a broader framework of disaster risk reduction strategies.

The LPP is an index-based, parametric climate risk insurance policy covering hazardous wind and extreme rainfall and is applicable to all people at climate risk in the Caribbean region. As pay-outs are linked to an index, disbursements can be made quickly, within 7 days from the triggered event providing immediate liquidity to the policyholders. The project consists of four major work streams.