Kloto 1, Golfe 1 and Golfe 7 communes have officially signed a pioneering insurance policy aimed at reinforcing their resilience against flooding. This parametric insurance project, designed to provide rapid compensation in case of extreme rainfall, marks a significant step forward in climate risk management in Togo
This groundbreaking mechanism was conceived in collaboration with AXA Climate, a specialist in parametric insurance and climate change adaptation solutions. The insurance package was underwritten by SUNU Assurances Togo, selected as a local insurer, while ARC Ltd. was chosen as reinsurer thanks to its recognized expertise in parametric insurance. This collaboration was carried out in coordination with the Direction Nationale des Assurances du Togo.
Fatou Acolatse, Managing Director of SUNU Assurances IARD Togo: “SUNU is proud to support the Togolese communes in this innovative project. As a local insurer, we put our expertise at the service of people’s resilience.”
Anaïs Symenouh, spokesperson of ARC Ltd.: “This partnership with SUNU Assurances and the Togolese communes exemplifies our commitment to developing innovative and accessible solutions, closely aligned with the needs of local communities. By joining forces, we are laying the foundations for a proactive and supportive response to disasters.”
The implementation of the project was supervised by the Agence Nationale de la Protection Civile (ANPC), which also played a key role in the elaboration of contingency plans for each township. The Agence Nationale de la Météorologie (ANAMET), meanwhile, ensured the installation of ten TAHMO weather stations in the communes, enabling precise measurement of rainfall to activate the compensation mechanisms. Each weather station will be able to trigger up to 50 million CFA francs when it measures a given rainfall threshold over the course of a day. The funds will be used to pump water and help the victims.
Winny Dogbatse, Mayor of Kloto 1: “Our residents have already suffered the dramatic consequences of the floods. This insurance gives us the means to act immediately to protect the most vulnerable populations.”
Koamy Gbloekpo GOMADO, Minister for Regional Planning and Development and Mayor of Golfe 1: “This is a major step forward for our commune. Thanks to this system, if the hazard or parameter is realized, we will autonomously obtain the necessary resources for a rapid and effective response.”
Aimé Koffi DJIKOUNOU, Mayor of Golfe 7: “The implementation of this parametric insurance marks a turning point for our risk management. We are now better prepared for floods and can react with greater anticipation.”
The coordination between local stakeholders was orchestrated by the project team of PADIE. Emile ATIGAKU Afelete, Director of the PADIE association: “The cumulated work of local government, national agencies acting on behalf of the Togolese state, private sector operators and development partners enabled us to craft a solution adapted to the realities in the field.”
Funding for the project was made possible by co-financing from the InsuResilience Solutions Fund (ISF) and a premium subsidy from Humanity Insured. Each municipality contributes up to 20% of the total cost of the annual premium, guaranteeing the affordability of the product.
Olga Mursajew, InsuResilience Solutions Fund (ISF) representative in charge of the project: “ISF is committed to developing innovative insurance solutions for vulnerable populations. This project in Togo demonstrates that it is possible to design financial protection mechanisms at the local level.”
Caroline Birch, project manager for Humanity Insured: “We have learned a lot from our collaboration with the national players. It’s a pleasure for Humanity Insured to partake in the success of this project;”
The insurance is designed to trigger one payout per station. The technical structure of the insurance product was designed by AXA Climate. Eliot Pernet, project manager: “This project shows that parametric insurance can play a key role in strengthening the resilience of communities to climate risks.”
This project is a major advancement for the protection of local communities against climate liabilities in Togo.
