Mozambican President Filipe Nyusi announced last week that a company has been selected that will provide insurance against the effects of climate change.
Nyusi said this measure will allow the country to be better prepared to respond to emergencies and to ensure greater financial capacity for a rapid response.
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He was speaking in Maputo on the occasion of receiving the National Prize for the Management of Disaster Risk, the Environment and Climate Change.
This is the first edition of the national prize which seeks to reward social actors who are outstanding for positive actions in defence of the environment.
Nyusi said that insurance against disasters is an innovation that should be taken seriously, since it will allow the capacity to rebuilt property lost during extreme climate events.
“Under the programme to manage disaster risks”, he added, “the government, in partnership with the World Bank, has hired an insurance company to provide sovereign insurance against natural disasters, cyclones and heavy rains. Naturally, this will require altering the existing legislation on insurance”.
Nyusi said the government is unable to respond promptly to all the needs, even with the aid of donors – hence the need “for a fund which will increase the capacity of the country to prevent or respond speedily and thus reduce the number of human victims and the loss of property”.
The President gave no details about the company that has been selected. He called on the private sector to support this initiative in order to reduce the impact of disasters. It opened a new niche in the market (for insurance companies) – however, insurers should work with honesty and transparency and serve the general interest, rather than taking the opportunity to profit from what Nyusi called “moments of misfortune”.
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The prize is awarded by the magazine “Banca e Seguros”, with the support of the government, through the Ministry of Economy and Finance and the National Disaster Risk Management Institute (INGD).
Nyusi dedicated the prize to all Mozambicans, because of their resilience to climate disasters, and their determination to rebuild their lives.
