ID :
61771
Thu, 05/21/2009 - 23:22
Auther :
Shortlink :
https://oananews.org//node/61771
The shortlink copeid
Japan eyeing disaster insurance for Pacific island nations
TOKYO, May 21 Kyodo -
Japan and the World Bank are considering establishing a disaster insurance
system for Pacific island countries that would allow them to receive immediate
liquidity if hit by a devastating earthquake or tsunami, government sources
said Thursday.
Prime Minister Taro Aso will explain the initiative at a two-day summit of
Pacific island countries beginning Friday in Hokkaido, the sources said.
Japan is hoping to establish the regional insurance program within one or two
years with countries participating in the summit and international
organizations, the sources said.
The insurance system will likely be operated by initial funding of between 3
billion and 5 billion yen from donors and annual premiums to be paid by Pacific
island countries, including Fiji, Micronesia, Samoa, Tonga and Tuvalu.
The system is aimed at supporting Pacific island countries, which have limited
infrastructure and budgetary capacities, by quickly providing emergency relief
and early rehabilitation in the event of natural disasters.
Japan and the World Bank believe that small island countries can ease serious
liquidity constraints after a disaster by pooling their country-specific risks
beforehand under one umbrella and acting collectively.
Participating Pacific island countries will pay annual premiums in proportion
to their exposure to risk, which will be decided in advance by assessing data
on the frequency of natural disasters, including earthquakes, tsunamis and
tropical cyclones, the sources said.
This will enable countries in need of assistance to immediately receive
insurance benefits without having to wait for damage assessments, so that they
could avoid secondary social and economic consequences that may result from
slow post-disaster responses.
Under the scheme, the insurance coverage would basically be provided based on
the intensity of a disaster, rather than the size of losses incurred.
In addition to Japan, the donors will likely include Australia and New Zealand,
according to the sources.
The program's operations for a catastrophic disaster will be managed separately
by a private insurance company with expertise, according to the sources.
Under the leadership of the World Bank, a similar disaster insurance system was
first established in 2007 for Caribbean countries, which have suffered
significant damage from powerful hurricanes.
At the fifth Japan-Pacific Islands Forum summit, to be held in Shimukappu in
Japan's northernmost main island of Hokkaido, climate change, the global
economic crisis and the new influenza will also top the agenda, according to
Japanese officials.
Japan first hosted a meeting of leaders from the islands forum in 1997 and has
held a summit every three years since.
The forum groups Australia, the Cook Islands, Fiji, Kiribati, the Marshall
Islands, Micronesia, Nauru, New Zealand, Niue, Palau, Papua New Guinea, Samoa,
the Solomon Islands, Tonga, Tuvalu and Vanuatu.
==Kyodo
Japan and the World Bank are considering establishing a disaster insurance
system for Pacific island countries that would allow them to receive immediate
liquidity if hit by a devastating earthquake or tsunami, government sources
said Thursday.
Prime Minister Taro Aso will explain the initiative at a two-day summit of
Pacific island countries beginning Friday in Hokkaido, the sources said.
Japan is hoping to establish the regional insurance program within one or two
years with countries participating in the summit and international
organizations, the sources said.
The insurance system will likely be operated by initial funding of between 3
billion and 5 billion yen from donors and annual premiums to be paid by Pacific
island countries, including Fiji, Micronesia, Samoa, Tonga and Tuvalu.
The system is aimed at supporting Pacific island countries, which have limited
infrastructure and budgetary capacities, by quickly providing emergency relief
and early rehabilitation in the event of natural disasters.
Japan and the World Bank believe that small island countries can ease serious
liquidity constraints after a disaster by pooling their country-specific risks
beforehand under one umbrella and acting collectively.
Participating Pacific island countries will pay annual premiums in proportion
to their exposure to risk, which will be decided in advance by assessing data
on the frequency of natural disasters, including earthquakes, tsunamis and
tropical cyclones, the sources said.
This will enable countries in need of assistance to immediately receive
insurance benefits without having to wait for damage assessments, so that they
could avoid secondary social and economic consequences that may result from
slow post-disaster responses.
Under the scheme, the insurance coverage would basically be provided based on
the intensity of a disaster, rather than the size of losses incurred.
In addition to Japan, the donors will likely include Australia and New Zealand,
according to the sources.
The program's operations for a catastrophic disaster will be managed separately
by a private insurance company with expertise, according to the sources.
Under the leadership of the World Bank, a similar disaster insurance system was
first established in 2007 for Caribbean countries, which have suffered
significant damage from powerful hurricanes.
At the fifth Japan-Pacific Islands Forum summit, to be held in Shimukappu in
Japan's northernmost main island of Hokkaido, climate change, the global
economic crisis and the new influenza will also top the agenda, according to
Japanese officials.
Japan first hosted a meeting of leaders from the islands forum in 1997 and has
held a summit every three years since.
The forum groups Australia, the Cook Islands, Fiji, Kiribati, the Marshall
Islands, Micronesia, Nauru, New Zealand, Niue, Palau, Papua New Guinea, Samoa,
the Solomon Islands, Tonga, Tuvalu and Vanuatu.
==Kyodo
