Caribbean leaders have agreed to explore a regional insurance and reinsurance strategy aimed at expanding catastrophe coverage for hotels, hospitals and other critical infrastructure, as hurricanes and natural disasters continue to drive up insurance costs across the region.
According to Antigua News Room, the initiative was approved during the 51st Regular Meeting of the Conference of Heads of Government of the Caribbean Community (CARICOM), where leaders expressed concern over the growing number of uninsured and underinsured properties in member states.
The meeting's communiqué noted that increasingly severe hurricanes and other natural disasters have made it more difficult and expensive for governments and businesses to obtain adequate insurance coverage.
To address the challenge, leaders agreed to examine expanding existing catastrophe risk insurance to include tourism infrastructure — particularly hotels — as well as critical economic and social facilities such as hospitals. Leaders also agreed to consider coverage for pandemic-related events.
CARICOM further agreed to establish a CARICOM Reinsurance Task Force to advance plans for a coordinated regional insurance and reinsurance strategy. The body is intended to improve access to affordable coverage and strengthen the region's financial resilience in the aftermath of disasters.
The move comes as Caribbean countries continue to face increasingly frequent and intense weather events linked to climate change, with governments seeking new ways to reduce financial risks while protecting key sectors such as tourism and healthcare.
