The Munich Climate Insurance Initiative (MCII), a project of the German re-insurance company Munich Re, and EC Global Insurance, a subsidiary insurance arm of the St. Lucia-based East Caribbean Financial Holding Group, recently unveiled a microinsurance product “Livelihood Protection Policy” (LPP).Speaking at the product launch, Leathon Khan, CEO of EC Global, reportedly noted, “This is for us a very proud accomplishment and a very proud moment in our continued development as a very innovative and forward thinking insurance provider. We really appreciate the positive response from the regulators and we can now move forward very confidently to offer this product to the public. This is a socially responsible investment in our people.”
LPP will be run in conjunction with several partners including the German Federal Government, Munich Re, and the Insurance Council of St. Lucia. It is expected to provide a safety net for a significant section of the population who would otherwise have no insurance protection. Details such as pricing and coverage amounts have not been released. EC Global expects to roll out similar initiatives other targeted countries within the region, including Jamaica and Grenada.
As of June 2012, EC Global’s total assets stood at XCD 16 million (USD 5.9 million) with a pre-tax profit of XCD1.06 million (USD 393,000).Gross premiums written for 2011 were XCD13.1 million (USD 4.8 million).
By Chioma Okwudiafor, Research Associate
About Munich Climate Insurance Initiative
The Munich Climate Insurance Initiative (MCII) was initiated by Munich Re, a German reinsurance company, in April 2005 in response to the growing popularity of the idea that insurance solutions can play a role in adaptation to climate change, as suggested in the Framework Convention, an international environmental treaty with the goal of achieving the stabilisation of greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous interference with the climate system, and the Kyoto Protocol, a protocol to the United Nations Framework Convention on Climate Change(UNFCCC ) that sets binding obligations on industrialised countries to reduce their emissions of greenhouse gases. This initiative is hosted at the United Nations University Institute for Environment and Human Security (UNU-EHS) and is comprised of insurers, climate change and adaptation experts, NGOs, and policy researchers.
About EC Global Insurance EC Global insurance is a St-Lucia based insurance companya member and a member of The East Caribbean Financial Holding Company (ECFH). ECFH has four other subsidiaries including Bank of Saint Lucia Limited,Bank of Saint LuciaInternational Limited, Bank of St. Vincent & the Grenadines Limited, ECFH Global Investment Solutions. As of June 2012, EC Global’s total assets stood at XCD 16 million (USD 5.9 million) with a pre-tax profit of XCD1.06 million (USD 393,000).Gross premiums written for 2011 were XCD13.1 million (USD 4.8 million.
Sources and Additional Resources:
The Voice St. Lucia Story: “Microinsurance is here” http://www.thevoiceslu.com/feat_business/2012/november/06_11_12/Micro.htm
MicroCapital Story: August 2, 2012, “MICROCAPITAL EVENT: Munich Re Foundation, Microinsurance Network Present ‘8th International Microinsurance Conference’, Dar es Salaam, Tanzania, November 6-8, 2012” http://www.microcapital.org/microcapital-event-munich-re-foundation-microinsurance-network-present-8th-international-microinsurance-conference-dar-es-salaam-tanzania-november-6-8-2012/
MicroCapital Universe Profile: Munich Re Foundation
MicroCapital Universe Profile: EC Global Insurance http://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=EC+Global+Insurance
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