Since its establishment in 2016, the Pacific Catastrophe Risk Insurance Company (PCRIC) has steadily expanded its parametric insurance coverage while growing its participating member governments from five to eight. Notably, the total value of policies underwritten has more than doubled, from US$20 million to over US$50 million, a clear reflection of both the rising relevance of parametric insurance and the increasing confidence countries place in PCRIC’s instruments.

As climate-related risks intensify across the Pacific, PCRIC has launched a scoping study to explore the expansion of parametric insurance solutions to Fiji’s state-owned enterprises (SOEs) and public corporations. This initiative is supported by the Global Shield Solutions Platform (GSSP), managed by Frankfurt School, and aims to identify the specific disaster risk financing needs of these vital institutions.

SOEs in Fiji provide essential services such as electricity, water, telecommunications, roads, and ports – all fundamental to national resilience. Ensuring the continuity of these services following a natural disaster is critical to safeguarding communities and maintaining economic stability. Parametric insurance, with its rapid payouts typically processed within 14 days, offers early liquidity when it is most urgently needed in the aftermath of a climatic event.

Early consultations conducted as part of the study have received strong interest, as SOEs and public corporations increasingly recognise the benefits of financial risk transfer tools that support faster recovery and uninterrupted service delivery. Preliminary findings are now being discussed with key stakeholders, including Fiji’s Ministry of Public Enterprises and Ministry of Finance.

This GSSP-funded initiative supports PCRIC’s strategic goal of expanding access to financial protection mechanisms beyond central government, ensuring that all layers of national infrastructure and service delivery are equipped with timely and reliable disaster risk financing tools.