BRIDGETOWN, Barbados, Monday October 22, 2018 – Barbados has received a US$5.8 million payout from the Caribbean Catastrophe Risk Insurance Facility (CCRIF) following the passage of Tropical Storm Kirk earlier this month.
The payout was made under the country’s Excess Rainfall policy and was made within 14 days of the storm’s passing.
Speaking at a short ceremony to mark the payout, CCRIF CEO, Isaac Anthony said natural hazards continue to have an inordinate impact on the economies of the small island states of the Caribbean and the importance of risk transfer instruments in country disaster risk management (DRM) and climate resilience strategies.
He indicated that the importance of risk financing and the parametric products that CCRIF provides has become even more evident, especially after the past two years in which Hurricanes Matthew, Irma and Maria affected so many of the countries in the region.
However, Anthony was quick to point out that, notwithstanding the value of these products, CCRIF insurance or risk transfer in general is not a panacea – but only part of the DRM equation.
“In the Caribbean, we know all too well that we must have allocations in our budget for disaster management and recovery supported by comprehensive disaster management policies and plans. We must – and can – reduce our vulnerabilities to natural hazards.”
In receiving the payout, Prime Minister Mia Mottley said every dollar in damage for a country that is in a tight fiscal situation, like Barbados, “is a dollar that we really would have preferred not to lose”.
“…And therefore [we are pleased] to have this sum coming back to us to help us offset some of the damage as a result of Tropical Storm Kirk…. we are trying to take a proactive approach and this money will help us to continue in that manner.”
Since its inception in 2007, CCRIF has made payouts totaling US$136.3 million to 13 member governments in the Caribbean and Central America – of which US$19.3 million has been paid to Barbados.