Disaster safety nets for developing countries: Extending public—private partnerships

In developed countries, public—private partnerships involving insurance companies and governments often provide security against the human and economic losses of disasters. These partnerships, however, are neither available nor affordable in most highly exposed developing countries. In this paper we examine recent innovations in financial risk management that extend traditional public—private partnerships to include NGOs, international financial institutions and other donors. Importantly, these partnerships provide secure financial arrangements to low-income communities before disasters strike and thus relieve the uncertainty and anxiety of depending on ad hoc post-disaster aid for recovery and even survival. We examine three examples of extended partnerships: the Turkish Catastrophe Insurance Pool; the Andhra Pradesh microinsurance program and an index-based weather derivative for farmers facing drought in Malawi.     

Successes and failures of compulsory risk mitigation: re‐evaluating the Turkish Catastrophe Insurance Pool

The Turkish Catastrophe Insurance Pool (TCIP) is one of the best practices of public–private partnerships in an emerging market designed to reduce economic losses from disasters. This paper reviews the application of this compulsory mechanism along with data relating to the performance of the scheme following recent earthquakes in Turkey. We also consider the current perceptions of Turkish society towards the TCIP and how they can be enhanced. Our conclusions aim to assist stakeholders in government, homeowners, insurance companies, media, banks and civil society to appreciate the value of the system and key actions necessary to improve it.     

Remittances as aid following major sudden‐onset natural disasters

There is a general assumption, based on macroeconomic studies, that remittances will rise following major sudden‐onset natural disasters. This is confirmed by a few assessments involving country‐specific research, and usually short‐term data. This study, questioning conventional wisdom, reviewed and graphed annual and quarterly remittance flows using International Monetary Fund and World Bank data from 2000–14 for 12 countries that confronted 18 major natural disasters. It found that, regardless of event type, annual remittances rose steadily from 2000–14 except for after the 2008–09 financial crisis. Post disaster, there was a quarterly increase in the majority of cases (confirming previous research) but there was seldom an annual increase in the year of the disaster greater than the average annual increase in 2000–14. It appears that remittance senders rush to provide assistance after a natural disaster, but since their own financial situation has not changed, the immediate increase is compensated by a later decrease.     

Analytical mapping of research on disaster management,types and role of ICT during 2011–2018

Catastrophic disasters like earthquake and flood cause widespread destruction and financial devastation. This has brought disaster management into limelight making it a burgeoning academic research field. The remarkable rise of ICT (Information and Communication Technology) has instigated the scientific world to incorporate these technologies in disaster management. This study presents scientometric analysis to identify the status quo of research on the management of various disasters and role of ICT in it. This paper uses bibliographic data retrieved from Scopus for the observation period from 2011 to 2018. We provide extensive insights into growth of publications, citation pattern and their connectedness with other subject disciplines. Furthermore, we identify most productive and influential countries, institutes and journals. Our study analyses co-occurrence of keywords using Visualization of Similarities (VOS) Viewer. This structured overview will enhance the understanding of this field leading to more focussed and purposeful research.     

Exploring the feasibility of private micro flood insurance provision in Bangladesh

This paper aims to contribute to the debate on the feasibility of the provision of micro flood insurance as an effective tool for spreading disaster risks in developing countries and examines the role of the institutional-organisational framework in assisting the design and implementation of such a micro flood insurance market. In Bangladesh, a private insurance market for property damage and livelihood risk due to natural disasters does not exist. Private insurance companies are reluctant to embark on an evidently unprofitable venture. Testing two different institutional-organisational models, this research reveals that the administration costs of micro-insurance play an important part in determining the long-term viability of micro flood insurance schemes. A government-facilitated process to overcome the differences observed in this study between the nonprofit micro-credit providers and profit-oriented private insurance companies is needed, building on the particular competence each party brings to the development of a viable micro flood insurance market through a public-private partnership.     

Disaster risk from a macroeconomic perspective: a metric for fiscal vulnerability evaluation

The Disaster Deficit Index (DDI) measures macroeconomic and financial risk in a country according to possible catastrophic scenario events. Extreme disasters can generate financial deficit due to sudden and elevated need of resources to restore affected inventories. The DDI captures the relationship between the economic loss that a country could experience when a catastrophic event occurs and the availability of funds to address the situation. The proposed model utilises the procedures of the insurance industry in establishing probable losses, based on critical impacts during a given period of exposure; for economic resilience, the model allows one to calculate the country's financial ability to cope with a critical impact. There are limitations and costs associated with access to resources that one must consider as feasible values according to the country's macroeconomic and financial conditions. This paper presents the DDI model and the results of its application to 19 countries of the Americas and aims to guide governmental decision‐making in disaster risk reduction.     

Remodelling reparation: changes in the compensation of victims of natural catastrophes in Belgium and the Netherlands

The paper presents a comparative analysis of the development and present state of compensation for victims of catastrophes in Belgium and the Netherlands. These two neighbouring countries have both seen legislative changes in this field in recent years, albeit with different outcomes. The paper thus analyses to what extent the two compensation scheme structures allow for conclusions as to the comparative benefits of a comprehensive insurance scheme for natural disasters. From the perspective of law and economics, the evolution of private insurance and public intervention through compensation funds, the preference for private or public solutions and the actual financing of these are examined. Drawing on practical experience, such as the case of flood risks, the solutions are tested in view of incentive-based financing. The paper concludes that the private insurance market is more developed in Belgium than it is in the Netherlands, where the reform process has not yet ended.     

The future of disasters studies: new disasters and the case of the Horn of Africa

Past disasters have been well studied, but the challenge of using the findings to improve the management of future events remains a daunting task. This paper argues that there are new and complex disasters of which the state itself has become the main source, as reflected in the Horn of Africa. This region is characterised by increasing vulnerability owing to the alarming decline of democracy and the rise of authoritarianism. These new disasters are less researched because of the hazard of conducting fieldwork in such environments. However, there is mounting evidence to highlight the possibility of performing research in these settings, but not by employing traditional methods; rather, these tools may need to be customised for use. One key policy implication here is that donors may need to invest more money in analysing these new disasters and they may need to consider building and strengthening genuine partnerships between Northern and Southern research institutions     

Financial services and disaster risk finance: Examples from the community level

Increased attention has recently been given to the possible role of financial services in the management of natural disaster risk. Local communities have been at the forefront of developing innovative disaster risk finance strategies and implementing risk-oriented incentive programs. In view of increasing risks, including the impacts of climate change, such programs will become more important. This paper examines four models and some recent experiences in using financial services at the community level. The paper offers an overview of advantages and limitations of each model to manage disaster risk in communities. Examples include a federal government initiated scheme of social protection funds, a local government risk reduction scheme, an insurance product provided by a non-governmental organization , and a micro-insurance scheme. Finally, the paper offers some directions about specific ways that the public and private sectors, in collaboration with other partners can improve finance alternatives for disaster management at the community level. It appears that a range of follow-up studies and further dialogue is needed, in order to expand the knowledge on what types of risk finance models can help manage and reduce the financial impacts of natural disasters.     

Financial services and disaster risk finance: Examples from the community level

Increased attention has recently been given to the possible role of financial services in the management of natural disaster risk. Local communities have been at the forefront of developing innovative disaster risk finance strategies and implementing risk-oriented incentive programs. In view of increasing risks, including the impacts of climate change, such programs will become more important. This paper examines four models and some recent experiences in using financial services at the community level. The paper offers an overview of advantages and limitations of each model to manage disaster risk in communities. Examples include a federal government initiated scheme of social protection funds, a local government risk reduction scheme, an insurance product provided by a non-governmental organization, and a micro-insurance scheme. Finally, the paper offers some directions about specific ways that the public and private sectors, in collaboration with other partners can improve finance alternatives for disaster management at the community level. It appears that a range of follow-up studies and further dialogue is needed, in order to expand the knowledge on what types of risk finance models can help manage and reduce the financial impacts of natural disasters.     

Displacement in urban areas: new challenges, new partnerships

Rapid urbanisation is a key characteristic of the modern world, interacting with and reinforcing other global mega trends, including armed conflict, climate change, crime, environmental degradation, financial and economic instability, food shortages, underemployment, volatile commodity prices, and weak governance. Displaced people also are affected by and engaged in the process of urbanisation. Increasingly, refugees, returnees, and internally displaced persons (IDPs) are to be found not in camps or among host communities in rural areas, but in the towns and cities of developing and middle-income countries. The arrival and long-term settlement of displaced populations in urban areas needs to be better anticipated, understood, and planned for, with a particular emphasis on the establishment of new partnerships. Humanitarian actors can no longer liaise only with national governments; they must also develop urgently closer working relationships with mayors and municipal authorities, service providers, urban police forces, and, most importantly, the representatives of both displaced and resident communities. This requires linking up with those development actors that have established such partnerships already.     

Charity hazard—A real hazard to natural disaster insurance?

After the flooding in 2002 European governments provided billions of Euros of financial assistance to their citizens. Although there is no doubt that solidarity and some sort of assistance are reasonable, the question arises why these damages were not sufficiently insured. One explanation why individuals reject to obtain insurance cover against natural hazards is that they anticipate governmental and private aid. This problem became to be known as “charity hazard”. The present paper gives an economic analysis of the institutional arrangements on the market for natural disaster insurances focusing on imperfections caused by governmental financial relief. It provides a theoretical explanation why charity hazard is a problem on the market for natural disaster insurances, in the way that it acts as an obstacle for the proper diffusion and therefore the establishment of natural hazard insurances. This paper provides a review of the scientific discussion on charity hazard, provides a theoretical analysis and points out the existing empirical problems regarding this issue.     

发展中国家灾害经济的特点、成因及对策

发展中国家人口众多，经济技术落后，酱稀缺，抗灾能力低，防灾意识不强，加多不合理经济活动对环境的过度干预以及发达国家转嫁环境灾害和社会危机，致使发展中国家产生灾害的潜在因素日益增加，灾害的成灾损失越来越严重，灾害对经济发展的影响与经济因素对灾害的影响都在日益加深，形成恶性循环。本文从经济学角度提出了防灾减灾就采取的主要对策。     

Shelter, housing and recovery: a comparison of u.s. Disasters

In this paper we examine the issues associated with the temporary sheltering and housing of victims after natural disasters in the United States. Specific topics addressed include differential access to shelter and housing aid according to social class, ethnicity and related demographic factors; the relationship between post-disaster shelter and housing and long-term recovery; the role of social support networks in the sheltering of victims; and the implications of the research for the provision of shelter and housing aid after disasters.     

Sovereign financial disaster risk management: The case of Mexico

In 2006, Mexico became the first transition country to transfer part of its public-sector natural catastrophe risk to the international reinsurance and capital markets. The Mexican case is of considerable interest to highly exposed transition and developing countries, many of which are considering similar transactions. Risk financing instruments can assure governments of sufficient post-disaster capital to provide emergency response, disaster relief to the affected population and repair public infrastructure. The costs of financial instruments, however, can greatly exceed expected losses, and for this reason it is important to closely examine their benefits and alternatives. This paper analyzes the Mexican case from the perspective of the risk cedent (the Ministry of Finance and Public Credit), which was informed by analyses provided by the International Institute for Applied Systems Analysis (IIASA). The rationale for a government to insure its contingent liabilities is presented along with the fiscal, legal and institutional context of the Mexican transaction. Using publicly available data, the paper scrutinizes the choice the authorities faced between two different risk-transfer instruments: reinsurance and a catastrophe bond. Making use of IIASA's catastrophe simulation model (CATSIM), this financial risk management decision is analyzed within the context of a public investment decision.     

Mobility due to natural disaster: theoretical considerations and preliminary analyses

Relatively little of the work on natural disasters has focused on people who do not return to their pre-disaster homes. This study uses Annual Housing Survey data from 1974 through 1981 to examine moving households who attribute their moves to a natural disaster. The focus is on three issues: the characteristics of the movers and their recovery; a comparison with other involuntary movers (i.e., public and private displacees); and the amount of innovating or conserving behavior shown by different groups of movers and the impact of these behaviors on each group's recovery after the move. The paper compares disaster movers to all movers and to other forced movers. Distinct differences between the groups in their characteristics and housing recovery exist. The paper concludes with suggestions for continued analysis and policy implications.     

Squatters' nightmare: the political economy of disasters and disaster response in zambia

Despite the frequency with which disasters occur, very few if any third world countries have developed elaborate disaster mitigation networks. Most commonly, governments in these countries focus their attention on disaster relief rather than disaster mitigation and preparedness. It is the contention of this paper that apart from the political and economic instability which will result from government apathy, lack of sensitivity to the question of disasters and disaster preparedness will result in untold suffering for the millions of our people who live on the urban margins and who are the most exposed to the dangers of disasters. This paper is about disasters and disaster response in Zambia.     

Modelling the elements of country vulnerability to earthquake disasters

Earthquakes have probably been the most deadly form of natural disaster in the past century. Diversity of earthquake specifications in terms of magnitude, intensity and frequency at the semi-continental scale has initiated various kinds of disasters at a regional scale. Additionally, diverse characteristics of countries in terms of population size, disaster preparedness, economic strength and building construction development often causes an earthquake of a certain characteristic to have different impacts on the affected region. This research focuses on the appropriate criteria for identifying the severity of major earthquake disasters based on some key observed symptoms. Accordingly, the article presents a methodology for identification and relative quantification of severity of earthquake disasters. This has led to an earthquake disaster vulnerability model at the country scale. Data analysis based on this model suggested a quantitative, comparative and meaning full interpretation of the vulnerability of concerned countries, and successfully explained which countries are more vulnerable to major disasters.     

两宋时期自然灾害的文学记述与地理分布规律

两宋320年间共发生灾害1739次,灾害种类14种,如此深重的灾害是导致两宋"积贫积弱,国力不强"的一大主要因素.由于宋朝时期的地理气候特点,水灾、旱灾接连不断发生,并且成为两宋最主要的自然灾害.古代自然灾害研究主要依据史书记载,中国是世界上少数灾害多发的国家之一,文学作品中反映出来的灾难与救世观念可以给人们很多启发.以王禹偁为代表的宋代文学家给后世留下了许多记述灾害的文学作品,从文学作品的记述中可以提取古代灾害的准确信息.北宋都城位于开封,南宋京都在杭州,由于史料对当时中央政府所在地省份的记述颇为翔实,两宋自然灾害的省区分布,以河南、浙江灾害次数最多.