Helping Communities Manage risks from the ground up.

Microinsurance can be a tool in Disaster Risk Reduction/Management – but only if it survives the disaster itself. Reinsurance can help microinsurance to survive disasters. However, reinsurers regard the microinsurance entity a risky client and are hesitant to engage in this market. An Integrated Risk Management approach can help a microinsurer to become a better client for reinsurance and thus to obtain reinsurance cheaper – or obtain it at all. However, Integrated Risk Management for microinsurance is insufficiently conceptualized so far. This paper takes a first step by providing examples of risks faced by microinsurance schemes and risk management techniques available to tackle them. It presents the Integrated Risk Management cycle and screens the business process of microinsurance for risks.