Jamaica to Receive More Than US$70 Million From CCRIF
GEORGE TOWN, Cayman Islands – The Caribbean Catastrophic Risk Insurance Facility (CCRIF-SPC) Friday said that it will make a US$70.8 million payout to the Jamaica government following the passage of Hurricane Melissa.
Damage caused by Hurricane Melissa (File Photo)“This marks the largest single payout in CCRIF’s history and is a powerful demonstration of the organization’s parametric insurance model. Subject to final model verification, this payout will be made within 14 days, consistent with CCRIF’s commitment to speed, transparency, and fiscal responsiveness,” the Cayman Islands-based Caribbean and Central America Parametric Insurance Facility and Development Insurer said in a statement.
The CCRIF said that the latest payout marks the fourth payout to Jamaica, bringing the country’s total value of payouts from CCRIF to US$100.9 million.
In 2024, Jamaica received US$26.6 million following Hurricane Beryl, and in 2020, a payout was made after Tropical Cyclones Zeta and Eta.
“This payout to Jamaica is not just a financial transaction, it is a reaffirmation of CCRIF’s mission to stand with our members in their most difficult moments,” said CCRIF chief executive officer, Isaac Anthony, said.
“We are proud to support the Government’s swift response and recovery efforts, and we remain committed to helping build a more resilient and secure future for all.”
The official death toll from Hurricane Melissa remains at 19, but the number is expected to change as recovery efforts continue across the island, according to Information Minister Dr Dana Morris Dixon.
The CCRIF said that in addition to the tropical cyclone payout, the Jamaica government is expected to receive a second payout under its excess rainfall policy, pending final model calculations.
It said excess rainfall assessments typically take a few days longer than tropical cyclone evaluations due to the complexity of rainfall distribution and localized impacts.
CCRIF said it will confirm the outcome for this potentially additional payout once the modelled loss value is fully validated.
Jamaica, a founding member of CCRIF at its establishment in 2007, has long integrated CCRIF’s parametric insurance products, covering tropical cyclones, excess rainfall, and earthquakes into its comprehensive disaster risk financing strategy and risk layering framework.
“This strategic foresight has enabled Jamaica to be certain of the availability of the access to liquidity just three days after Hurricane Melissa crossed the island, with CCRIF’s tropical cyclone policy triggering automatically based on modelled loss values.
“Within the context of Jamaica’s dynamic disaster risk financing framework, CCRIF stands ready to support the Government in expanding its coverage portfolio by considering additional products from CCRIF for the water and electric utility sectors, as well as the fisheries sector.
“This will further enhance the government’s financial protection strategy and ensure continuity of essential services in the face of future climate-related shocks. The government currently has coverage from CCRIF for tropical cyclone, excess rainfall and earthquake,” the CCRIF said.
Meanwhile, the World Bank Friday said that a “broad package” of assistance is ready to be mobilised for Jamaica, as the country deals with the effects of the passage of Hurricane Melissa earlier this week that killed several people and left a trail of damage and destruction.
“Our thoughts are with the people of Jamaica as they face the devastating impact of Hurricane Melissa. We are working closely with the Government of Jamaica and international partners, including the Inter-American Development Bank, to carry out a rapid post-disaster damage assessment and help guide immediate relief and recovery efforts,” the Washington-based financial institution said in a statement.
It said Jamaica has developed one of the most advanced and comprehensive disaster risk financing systems in the Caribbean, serving as a model for preparedness and resilience across the region.
It said that this strong foundation will be critical in ensuring a swift and coordinated response to the hurricane’s impacts.
“A broad package of World Bank Group assistance is ready to be mobilised — combining quick-disbursing emergency finance, likely payout in connection with a World Bank catastrophe bond, the redeployment of existing project funds, and targeted private-sector support through the International Finance Corporation, the WBG’s private sector arm.
“Our teams are also prepared to provide technical advice and implementation support to help Jamaica recover and rebuild stronger, ensuring that reconstruction efforts contribute to long-term resilience and sustainable growth,” the World Bank said.
