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Views from the Center

CGD experts offer ideas and analysis to improve international development policy. Also check out our Global Health blog and US Development Policy blog.

 

CGD’s Panel at the #HLM2 in Nairobi: Can Insurance Fix Emergency and Humanitarian Aid?

Can insurance really make emergency aid better, faster, and fairer? That was the question we posed to the impressive panel that we convened last week in Nairobi at the second high level meetings of the Global Partnership for Effective Development Cooperation. The panel brought together two critical skills to improving emergency aid: development expertise and risk management nous, and we left with four strong takeaways.

Emergency Aid is Broken: Expert Panel at CGD on How to Make Disasters Dull

Financing for humanitarian aid is broken. The costs of rapid- (like cyclones) and slow- (like drought) onset disasters are concentrated in poor, vulnerable countries, with a bill to donors of more than $19 billion last year. But far too often, we wait until crises develop before funding the response—what experts at CGD’s recent panel event (recording available at the link) described as a medieval approach of passing around begging bowls and relying on benefactorsThe delays make crises worse. And since money shows up, however imperfectly, when things go wrong, it undermines incentives to build resilience, relegating vulnerable people to depending on fickle goodwill.