The number of uninsured people world-wide is estimated to be least 4 billion. The poor often live in conditions that leave them particularly vulnerable to natural disasters such as heavy rain, wind, or earthquakes. These natural disasters are more prominent nowadays as a consequence of climate change. Few have financial reserves to recover from disasters: a micro-entrepreneur who sells goods at a roadside stand can lose her home or entire inventory during a natural disaster. The need is great, and so is the opportunity. It is estimated that this is a $40 billion untapped market.
MiCRO creatively utilizes the latest techniques in index insurance and innovative business models. After a disaster, predefined triggers based on the magnitude of the disaster determine a fast, efficient payout. To ensure a payout which more closely matches the needs of the policyholder, MiCRO is pushing the conventional boundaries of disaster modeling and risk retention. MiCRO complements the offer of insurance products with the offer of value added services that aim to increase resilience against natural disasters.
OUR MICROINSURANCE PRODUCTS
Microinsurance programs help families and micro-entrepreneurs to rebuild without the need to de-capitalize and liquidate valuable assets. But the impact of microinsurance goes far beyond replacing losses. Microinsurance is also a critical development tool that can build resiliency to shocks and lower long-term humanitarian needs. With micro-insurance, entrepreneurs are more likely to invest in income-generating or risk-reducing activities, with the security that their investments will be protected.
The development of socially impactful risk management solutions that make positive improvements in economic behavior, resiliency, and usage of insurance
Commercial sustainability following the pilot period where, over time, the entire value chain realizes an economic incentive to continue the product offering and scale
A pro-active culture of preparing for and responding to natural catastrophes through risk reduction and adaptation, especially in the context of climate change