Roe also discussed the CCRIF payout to Jamaica. That's the sovereign insurance that Belize and other Caribbean countries have and the company will make a record payout of US$70.8 million to the Government of Jamaica following the passage of Melissa.
Roe said it's a lot, but it's only a fraction of what the island may need:
Andrew Roe, Managing Director, RF&G Insurance
"Now, what Jamaica will be receiving out of CCRIF is somewhere around $70 million US dollars out of this insurance facility. In addition, Jamaica took the decision to work with the World Bank and purchase a catastrophe bond."
"Same concept, risk transfer mechanism that will deliver $150 million to Jamaica to support the recovery efforts the Jamaican government decides how to spend these funds. That might sound like a lot of money, but the projections are massive for this loss."
"The ranges are very far apart at this point because it's so early. You're hearing everything from $2 billion US dollars to $15 billion US dollars in economic losses. $150 plus $70 is not going to move the needle very much, but it's better than nothing."
"At least the government has money to get started with infrastructural improvements, making sure people are fed, making sure roads are cleared, making sure that they can help people begin moving forward with getting their lives back on track."
In addition to the tropical cyclone payout, the Government of Jamaica is expected to receive a second payout under its excess rainfall policy, pending final model calculations.
