1. Highlights from PPD7 on Climate Risk Insurance in Mongolia
Antonis Malagardis
Tuesdays with MEFIN
15 October 2019

2. Key Challenges to CRI Promotion related to Policy and Regulation
ABSENCE OF DATA INFRASTRUCTURE FOR RISK MODELLING
Lack of quality and granular data on loss and damage, risk profiles specific to areas, comprehensive risk assessment exercises
Difficult for product development by insurers
Government responsibility is acknowledged but resources and capacities missing, no clear guidelines on data sharing protocol
ABSENCE OF LEGAL FRAMEWORK
Absence of definitions, description of coverage, benefits, other scheme details
Improving access of insurance through innovative distribution channels

3. Key Policy and Regulation Challenges to CRI Promotion
FRAGMENTED SECTORAL APPROACHES
Need synergies among different stakeholders (ex. Harmonizing different government DRF programs; cooperation between insurers and humanitarian organizations on FbF)
Importance of risk protection is recognized but not prioritized
LACK OF AWARENESS ABOUT INSURANCE
Impacts overall insurance distribution approach
COMPETING PRIORITIES FOR GOVERNMENT BUDGETS
Need sound rationale and program design for CRI for budget approvals

4. Key Challenges to CRI Promotion related to Business Models and Use of Technology
LACK OF MULTI-STAKEHOLDER COOPERATION
Information gap among stakeholders, who to involve, what roles and responsibilities
A champion is key
LIMITED DISTRIBUTION NETWORK
Banks already collaborating as channels but need to partner with more institutions and companies to increase client outreach

5. Key Business Models and Use of Technology Challenges to CRI Promotion
ABSENCE OF DATA INFRASTRUCTURE FOR RISK MODELLING and PRODUCT DEVELOPMENT
Lack of quality and granular data on loss and damage, risk profiles specific to areas, comprehensive risk assessment exercises
Free climate and NatCat data are actually free globally, but hiring experts to process data and the software/hardware needed are expensive

6. Key Business Models and Use of Technology Challenges to CRI Promotion
4. OPPORTUNITIES FROM TECHNOLOGY PENETRATION RATES NOT YET FULLY EXPLORED
Need to understand how to capitalize on mobile and internet usage rates
Need to understand the ecosystem of stakeholders to involved including technology service providers
5. LOW LEVEL OF AWARENESS ABOUT INSURANCE (in general)
How can social media be a tool that translates awareness into insurance purchase