Our investment in InsuResilience Fund II is expanding access to climate risk insurance and helping millions of vulnerable people.
The UN estimates the total cost of climate adaptation and resilience will hit $330 billion every year by 2030, making private sector investment vital. At the same time, climate risk insurance provides fast financial support after extreme weather events, helping people recover and rebuild. Alongside other adaptation measures, it’s critical for protecting livelihoods and boosting resilience in vulnerable regions. But climate risk insurance can be hard to access, complicated to design and expensive, limiting its availability in the areas where it is needed most.
In 2024, we invested £12 million in Blue Orchard’s InsuResilience Fund II, which in turn invests in climate risk insurance companies operating in emerging markets. The fund plans to establish a robust ecosystem for improving access to climate insurance in emerging markets by backing new initiatives and maximising the distribution of existing products and services.
One example portfolio company is Fido Credit, a digital financial services platform offering credit to individuals and micro, small and medium-sized enterprises (MSMEs) in Ghana and Uganda. With the support of the fund, Fido will expand its insurance offering to include products that cover climate-related risk. It will focus on property coverage for individuals and flood coverage for small businesses.
