CCRIF confirms million-dollar payout to twin island republic
CCRIF SPC (formerly the Caribbean Catastrophe Risk Insurance Facility) has confirmed that it has made a payout of approximately $2.4 million to the Government of Trinidad and Tobago after a heavy rainfall event that occurred during August 18-20, 2021.
The rainfall was caused by an Inter-Tropical Convergence Zone that resulted in flooding and landslides across southern and western Trinidad, making several roads impassable.
Including this payout, CCRIF has now paid out 54 times since 2007, totalling approximately $245 million.
Trinidad and Tobago purchased coverage for excess rainfall in 2017. Due to different hazard risk profiles for each of the islands in the twin-island republic, the Government purchases two separate CCRIF policies, the facility explained. This payout is being made on the excess rainfall policy for Trinidad.
Earlier this month, CCRIF made its largest payout to date to Haiti of $40 million following the devastating 7.2 earthquake that struck that country on August 14, 2021, significantly impacting the city of Les Cayes.
While the cost of rebuilding following natural disasters could be overwhelmingly high, governments purchase CCRIF’s insurance for an early injection of quick liquidity or financial protection to help mobilize resources in the immediate aftermath of a disaster, while buffering the long‐term fiscal impact of disasters. Operating as a development insurance company, CCRIF products and services are designed to enhance the overall developmental prospects of its members.
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