The United Nations has launched a first-of-its-kind insurance programme that could provide up to $40m in additional funding to help communities prepare for disasters before they lose their homes, food and livelihoods.
The new programme is led by the UN Office for the Coordination of Humanitarian Affairs (OCHA), in partnership with the United Nations Children's Fund (UNICEF) and the World Food Programme (WFP), the programme is designed to provide extra financial support when multiple disasters threaten at the same time and place exceptional pressure on available resources.
Under the arrangement, OCHA will allocate funding when forecasts indicate an approaching disaster. If demand exceeds an agreed threshold, insurers will provide additional resources, enabling aid agencies to reach more people before the disaster strikes.
Photo courtesy: World Food Programme (WFP)
Gallagher Re structured and placed the coverage, with Liberty Mutual as lead insurer, while the Centre for Disaster Protection provided independent technical advice. UN Emergency Relief Coordinator Tom Fletcher said the insurance would provide another layer of protection, allowing the organisation to support more people ahead of disasters and make better use of available funding.
OCHA's anticipatory action portfolio currently covers more than five million people, with insurance intended to protect its funding capacity when several disasters occur simultaneously.
In Bangladesh, WFP provided cash assistance to a woman named Salma 24 hours before floods struck in 2024, allowing her to buy food and supplies and protect her belongings and livestock. UNICEF has also secured parallel coverage for its contribution to the programme, which is designed to allow other agencies and partners to participate in the future.