Announcement: Dan Ioschpe will lead as COP30 High-Level Champion. Read more here.
Parts of this site have been translated using AI
Announcement: Dan Ioschpe will lead as COP30 High-Level Champion. Read more here.
Parts of this site have been translated using AI
Friday, 9 May 2025 | By Climate Champions
Image credit: World Food Programme
Partner: Insurance Development Forum
Implementers: Swiss Re, Hiscox, Howden, & Humanity Insured
Countries and regions: Syria
Impact: 240,000 vulnerable people to benefit and US$9.25 million in climate risk insurance finance
Sharm Adaptation Agenda systems: Finance, Food & Agriculture
In February 2025, a US$9.25 million climate risk insurance policy was launched to help protect communities in Syria from the growing impacts of drought. The policy, developed by Race to Resilience partner, the Insurance Development Forum (IDF) and its members Swiss Re, Hiscox, Howden, in collaboration with the nonprofit Humanity Insured, is designed to support the World Food Programme (WFP) with prearranged finance when rainfall fails in key agricultural areas.The policy will support WFP's operations after satellites measure drought conditions, financing immediate assistance for up to 240,0000 vulnerable people.
Syria remains one of the world’s most vulnerable regions. Years of conflict have weakened institutions and disrupted essential services, while climate change has made extreme weather events more common. Droughts in particular are becoming more frequent and severe – undermining food production, damaging livelihoods, and putting added pressure on already fragile communities.
The new insurance policy aims to address this challenge directly. If drought conditions occur in strategic food-producing regions, the policy will trigger a payout of up to US$9.25 million, allowing WFP to deliver assistance faster. That might include distributing food, protecting harvests, or preventing families from resorting to harmful coping strategies – like skipping meals, selling livestock, or pulling children out of school.
The policy was made possible through funding from the World Bank’s Global Shield Financing Facility (GSFF), the UK Foreign, Commonwealth & Development Office (FCDO), and Germany’s Federal Ministry for Economic Cooperation and Development (BMZ). It reflects a growing focus on early, predictable finance in crisis settings, where acting quickly can reduce long-term harm.
The concept for the policy was first discussed in 2023 at the IDF Summit, where the Sovereign and Humanitarian Solutions Working Group convened to explore how insurance could be used to improve climate resilience in fragile contexts. The result is a model that brings together private insurers, humanitarian actors and public funders to share risk and improve preparedness.
For the WFP, this means being better equipped to respond. Instead of waiting for emergency appeals to be funded after a drought hits, the organisation can rely on prearranged insurance to act early –buying time and saving resources.
Ivo Menzinger, Managing Director of Public Sector Business at Swiss Re, and Chair of the Insurance Development Forum Operating Committee, said: “By ensuring rapid financial support when drought occurs, this policy demonstrates the power of collaboration in closing the crisis protection gap and strengthening food security. Effective climate risk insurance equips vulnerable populations with the resources to manage climate shocks – helping smallholder farmers recover from failed harvests and enabling governments and humanitarian agencies to mount timely and well-coordinated responses. When combined with broader risk management measures, such as social safety nets and community-led resilience initiatives, insurance plays a critical role in safeguarding livelihoods and ensuring long-term stability.”
Climate risk insurance has been used in other countries to support smallholder farmers, strengthen government response plans, and protect social programmes from disruption. But conflict-affected countries like Syria have historically been excluded from these types of tools. This new insurance policy marks an important step towards closing that gap.
It also aligns with the recommendations of the High-Level Panel on Closing the Crisis Protection Gap, supported by the IDF, which calls for a shift towards proactive crisis finance – especially in the world’s most at-risk countries.
As climate impacts intensify, solutions like this are becoming more urgent. While insurance alone won’t solve the challenges facing Syria, it can provide a measure of predictability in an unpredictable environment – and help communities hold on to the progress they’ve made.
