While EIOPA’s aim of providing transparent information on natural catastrophe protection gaps is welcome, its proposals require amendments to properly account for individual circumstances across member states.
Insurance Europe has today published its response
to a consultation by the European Insurance and Occupational Pensions
Authority (EIOPA) on its pilot dashboard for insurance protection gaps
for natural catastrophes.
While EIOPA’s aim of providing transparent information on natural
catastrophe protection gaps is welcome, its proposals require amendments
to properly account for individual circumstances across member states.
Because this is currently not the case, the dashboard will likely be
misleading and not provide a good basis for policy decisions.
EIOPA’s proposals also require further amendments to ensure that
prevention is adequately reflected in the dashboard. In general, it is
important to keep in mind that while insurers can play a vital role in
adaptation and mitigation, insurance cover is simply a way to provide
financial compensation for an event, and is not a substitute for
effective prevention measures being enacted. Maintaining, or indeed
improving, the affordability and insurability of insurance against
climate and weather-related risks cannot be achieved without adequate
prevention measures being taken.
Insurance Europe stands ready to work together with EIOPA to make this important project a success.
Insurance Europe
© InsuranceEurope
Key
Hover over the blue highlighted
text to view the acronym meaning
Hover
over these icons for more information
Comments:
No Comments for this Article