WFP has integrated climate insurance into its operations to confront the growing frequency and intensity of climate-related disasters.
In 2021, extreme weather events and natural hazards cost the world US$343 billion in economic losses, the fourth highest year on record. Of these losses, only US$130 billion was compensated by insurance, meaning 60 percent of those losses were not recovered.
To ensure that both WFP and the people it serves have financial resilience in the face of increasing climate-related disasters, WFP has tested and developed climate risk insurance solutions to both protect and improve people’s livelihoods as well as finance rapid recoveries.
