The Ministry of Finance has requested the Caribbean Catastrophe Risk Insurance Facility (CCRIF) to urgently disburse funds under our catastrophe insurance policy.
This was confirmed via a tweet by Finance Minister Colm Imbert.
Imbert said in the tweet that the CCRIF usually deals only with hurricane relief, but that two years ago, the Ministry of Finance paid for additional coverage for damage from excessive rainfall.
CCRIF offers earthquake, tropical cyclone and excess rainfall policies to Caribbean and Central American governments.
It helps to mitigate the short-term cash flow problems small developing economies suffer after major natural disasters.
The CCRIF was advised on Saturday that Trinidad and Tobago was experiencing unusually heavy rainfall and suffering from severe flooding.
Urgent disbursement of funds was requested from this country's excessive rainfall insurance policy with CCRIF.
The Ministry says that in the interim, it is making internal arrangements to ensure that Regional Corporations, the Defence Force and Protective Services, the relevant Ministries with responsibility for disaster management, social services and health care, inter alia, ODPM and other Relief Agencies are suitably funded, as a priority, so citizens directly affected will receive the help they so urgently need.
CCRIF’s parametric insurance mechanism allows it to provide rapid payouts to help members finance their initial disaster response and maintain basic government functions after a catastrophic event.
Since the inception of CCRIF in 2007, the facility has made 37 payouts to 13 member governments on their tropical cyclone, earthquake and excess rainfall policies totalling US$136.3 million.
Also, CCRIF has made 7 payments totalling almost US$700,000 under member governments’ Aggregated Deductible Cover (ADC).