Case study

Coral reef parametric insurance policy

NATURANCE Compendium

Area characterisation:

Marine

Objective:

Fund reef restoration after cyclones in Fiji

Start/end date:

Financing:

Private

Potential impacts/benefits:

  • Up to $450,000 per cyclone for reef restoration
  • Community assistance reducing post-disaster overharvesting
  • Supports livelihood and ecosystem recovery in Lau islands

Actions:

Parametric policy for Lau island communities paying up to US$450,000 after a cyclone for reef restoration and community assistance, easing pressure on coral overharvesting.

Organisations:

WTW, BHP, Vatuvara Foundation

Contacts:

Case study referred by UNEP FI. For more information, please contact: info@naturance.eu.

This is a parametric insurance policy purpose-built for Fiji's Lau island communities, offering pay-outs of up to US$ 450,000 for reef restoration and community assistance in the event of a cyclone. The community assistance component is designed to alleviate pressures on overharvesting of corals.

Sustainable Development Goals:

  • 14. Life below water

  • 1. No poverty

  • 13. Climate action

Publications and reports: