RFPI Asia is a regional program that will support Asian insurance supervisory authorities to enhance the enabling conditions for pro-poor insurance.
Low-income individuals in Asia not only suffer from poverty but also struggle with risks and vulnerability. Risk transfer mechanisms, particularly insurance, that could potentially pull out these individuals from poverty are far from their reach. Weaknesses in the political, regulatory and supervisory conditions are a major reason why inclusive insurance markets are poorly developed. Insurance is somehow faint in the financial inclusion agenda in Asia.
Many countries are without strategies for integrating insurance solutions within their development frameworks. Capacities of insurance supervisory authorities and ministries are also lacking to develop the markets for these insurance solutions. Increasingly, both the public and private sectors have recognized that low-income people are insurable and evidence of the sustainability of inclusive insurance have abound. It is the mandate of insurance regulatory authorities to ensure that insurance solutions strategies are appropriate and are coordinated among all the relevant stakeholders.
RFPI Asia is a regional program that will support Asian insurance supervisory authorities to enhance the enabling conditions for pro-poor insurance. Regional and global exchange between insurance supervisors will be promoted through training and dialogue events. Insurance supervisory authorities in individual countries will also be provided with tailored support in pilot measures to develop and implement regulatory reforms.
The program will utilize the Access to Insurance Initiative (A2ii) methodology and International Association of Insurance Supervisors (IAIS) global tools to build the capacities of insurance supervisors. A2ii is hosted by GIZ as its secretariat and is a global partnership among such agencies as International Labor Organization (ILO), United Nations Capital Development Fund (UNCDF), Consultative Group to Assist the Poor (CGAP), Finmark Trust and the German Federal Ministry for Economic Cooperation and Development (BMZ). Synergies with other donors and initiatives are expected to enhance the impact of RFPI Asia.
Cooperation between public sector decision-makers and private stakeholders will be facilitated to develop strategic approaches to insurance solutions on thematic focus areas such as micro, small and medium enterprises (MSMEs), disaster risk management and agriculture.