Mr. Yoshihiro Kawai, Chair of the SEADRIF Insurance Company, participated in the panel discussion titled “Securing The Financial Future of Climate Vulnerable Nations“, organized by Sustainable Market Initiative on 1 December 2023 at COP28

January 12, 2024

COP28 has seen some promising agreements on loss and damage. This panel focused on the critical role of the insurance sector in supporting the sustainable transition, exploring the multiple and complementary approaches to Loss and Damage.  Mr. John Neal of Lloyd's, Chair of the Insurance Task Force, moderated a fascinating panel with David Howden, Ms. Mami Mzutori from the United Nations Office for Disaster Risk Reduction (UNDRR), Dr. Ana Gonzalez-Palaez from the Cambridge Institute for Sustainability Leadership (CISL), and Mr. Yoshihiro Kawai, Chair of the SEADRIF Insurance Company.

The panel demonstrated how risk-sharing systems, supported by donors, that transfer the financial burdens of climate risks from vulnerable countries to the international risk capital markets should be a central pillar of the Loss & Damage architecture.  The panel also brought to light CISL’s ‘Risk Sharing for Loss and Damage’ research paper and action plan, which presents a replicable, scalable solution for preventing vulnerable states from losing more than a pre-agreed amount of GDP from climate disasters. It facilitates the design of the global financial architecture for Loss and Damage that is applicable to climate-vulnerable states worldwide.