What is the Impact Insurance Facility?
Insurance is vital to social and economic development. It delivers tremendous impact for households, enterprises and countries:
- Insurance provides a critical safety net for households, preventing them from falling into poverty by avoiding the damaging costs of emergencies.
- A strong and inclusive insurance market boosts the productivity of enterprises of all sizes by enabling entrepreneurs to pursue higher risk opportunities, and therefore makes a vital contribution to economic growth.
- Insurance is a powerful tool for governments to achieve public policy objectives. The insurance industry can be an indispensable ally in promoting access to vital services, including health care and agricultural services, and in making communities more resilient to climate change.
But in many developing countries, the insurance industry is not yet fulfilling its potential.
The ILO’s Impact Insurance Facility is enabling the insurance sector, governments, and their partners to realise this potential by promoting impact insurance. Impact insurance reduces vulnerability, promotes stronger enterprises and facilitates better public policies.
The ILO’s Impact Insurance Facility continues to build on its past achievements, and remains at the forefront of learning and innovating for better products and strategies to achieve greater impact.
Furthermore, it transforms that knowledge into practice. Together with the insurance industry, the ILO has amassed a wealth of lessons and experiences. It is now working to apply those lessons on a dramatic scale. To achieve this it is expanding its role as a global hub for capacity development.
Governments have the power to use insurance on a game-changing scale. We work intensively with governments, insurers and other stakeholders to strengthen insurance markets and embed insurance in strategies to reduce the vulnerability of populations and boost the productivity of economies.
Each of these three elements is essential. Only by delivering innovation and capacity on a far greater scale, and bringing together public and private players across the globe, are we making impact insurance a reality.
Our vision is that insurance realises its potential for economic and social development.
- Low-income households trust and use insurance as one way to manage the risks they face. It provides them with a critical safety net and prevents them from falling into poverty.
- A strong and inclusive insurance market boosts the productivity of enterprises of all sizes by enabling entrepreneurs to pursue higher risk opportunities.
- The insurance industry is an indispensable ally for achieving public policy objectives. It helps governments promote access to vital services, including health care and agricultural services, and make communities more resilient to climate change.
Our mission is to enable the insurance industry, governments, and their partners to realise the potential of impact insurance.
We achieve this mission by stimulating innovation, transforming knowledge into practice, and accelerating the development of inclusive insurance markets in selected countries.