The V20-led
Sustainable Insurance Facility

A Project Pipeline Development Facility to Assist V20 Membership in Scoping the Financial Protection Needs of Micro-, Small- and Medium-Sized Enterprises in the Context of Climate Change and Facilitate Project Concept and Proposal Development under the Leadership of V20 Finance Ministries

The Objective and Target Group

The objective of the SIF is to support the development and availability of climate-smart insurance solutions for micro-, small- and medium-sized enterprises (MSMEs) in 55 vulnerable economies. The term “climate-smart” captures the need for two types of climate-related insurance products, while the term “insurance solutions” makes clear that the SIF not only focuses on the insurance instrument as such, but:

SIF
ACTION
AREAS

To deliver on these objectives, SIF proposals will be developed based on the Five SIF Action Areas:

Identify target MSME industry / sector, their needs, and build the business case for local insurers

Develop insurance products to protect and grow MSMEs

Strengthen distribution channels to reach scale​

Enhance financial and climate risk literacy of MSMEs

Widen MSMEs' budgetary space and incentivize investments in resilience and insurance through engagement with public actors and reinsurers

Examples of Insurance Products Promoted
by the SIF

Multi-risk insurance for property and fixed assets

Personal insurance especially for micro-entrepreneurs

Business interruption insurance

Guarantee-like insurance products for low carbon investments

Energy efficiency insurance

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