MANILA, Philippines — Following a series of deadly road crashes, President Marcos yesterday ordered the Department of Transportation to study a proposal to adopt the public utility vehicle (PUV) insurance system for private cars. The Alliance of Transport Operators and Drivers Association of the Philippines (Altodap) is pushing for an increase in insurance coverage for passengers of private vehicles under the Compulsory Third Party Liability. The existing PUV insurance policy under the Passenger Personal Accident Insurance entitles passengers of buses and other PUVs to a maximum compensation of P400,000 each for death in a road crash and P100,000 in case of injuries. This is not the case for private car passengers, who are only entitled to up to P200,000, to be divided among all the victims, Altodap said. Presidential Communications Undersecretary Claire Castro said Marcos has directed Transportation Secretary Vince Dizon to study the proposal for higher insurance coverage. “This is for additional protection for those who might become victims of negligence or road accidents,” Castro said at a press briefing. Altodap cited the Katipunan flyover accident when a truck rammed motorcycles and private cars in December last year, leaving four people dead and 25 injured. Only P200,000 was released and the amount had to be divided among the families of the fatalities and the injured victims, the group said. It was the same case for the relatives of the 10 people who died in the crash along the Subic-Clark-Tarlac Expressway on May 1, according to Altodap. Source: philstar.com

Reducing state government taxes in Australia is perhaps the best and fastest way to bring relief for the insurance customers who are burdened by higher insurance premium in the aftermath of rising natural disasters according to QBE chairman Mike Wilkins. Mr Wilkins spoke about the government’s insurance taxes while addressing the company’s annual general meeting on 9 May 2025. He said, “We acknowledge the rising cost of premiums and the strain this can place on households and businesses. But insurance premiums are a reflection of risk, and the only sustainable way to improve affordability is to reduce the underlying risk. The average cost of insurance rose 16% in 2024, and even more for customers in flood- or fire-prone areas. Mr Wilkins said, “Taxes add 20% to 40% to the price a customer pays for a premium and state governments are the biggest beneficiaries. In 2023-24 state governments collected nearly A$8.6bn ($5.5bn) in stamp duty and other levies from insurance customers, that's A$3.5bn more than the entire insurance industry’s profit made in that year.” Mr Wilkins was critical of the policymakers for spending 97% of disaster funding on recovery after catastrophes and only 3% on mitigation projects, like building dams and levees. He said this should change, it is not sustainable, economically or socially, to continue down this path. He said, “The insurance industry is highly regulated and while we support the need for strong oversight, it’s essential that regulation is balanced and forward-looking. Regulatory settings should continue to support a sustainable and resilient sector, one that can adapt to emerging risks and continue to deliver value over the long term.” QBE delivered a statutory net profit after tax of A$1.779bn in 2024.  This was a 31% improvement over the company’s 2023 result reflecting the steady progress that QBE continues to make. The company’s capital position and balance sheet remain strong. Source: asiainsurancereview.com

Cordinated action is urgently needed against the rising threats posed by extreme weather and natural catastrophes, says Zurich Insurance Group (Zurich). The global insurer, in its paper, titled “Climate Risks: Strategies for Building Resilience in a More Volatile World”, outlines the increasing costs of these events, highlights the role of insurance, and offers recommendations for policymakers to build resilient societies and economies. Extreme weather events such as hurricanes, floods and wildfires caused about $2tn in economic losses over the past decade according to the International Chamber of Commerce. “The insurance industry is uniquely positioned to help strengthen resilience to physical climate risks,” said Ms Alison Martin, CEO EMEA and Bank Distribution. She added, “However, addressing the escalating costs of extreme weather and natural catastrophes requires collective and immediate action.” Insurance coverage is not keeping up with growing losses, leading to more underinsured or uninsured households and businesses. Zurich, through its report, provides a roadmap for how governments, insurers and communities can collaborate to meet the growing challenges posed by extreme weather and natural catastrophes. New approaches Zurich advocates for a new approach that focuses on risk reduction and extending insurance coverage to protect communities and businesses. The insurance industry can provide risk management insights and capabilities to strengthen resilience to physical climate risks. By de-risking capital flows, the industry can also help unlock the necessary finance to build the infrastructure required to deliver that resilience, enhancing the protection provided by insurance. The paper makes three recommendations for policymakers: 1. Invest in risk prevention and reduction: Governments should make formal commitments to strengthen climate resilience through robust strategies and the implementation of building codes and urban planning regulations. Measures include building climate resilience into national planning, establishing national centers of competence, and making more effective use of technology, data analytics and scientific research. 2. Enhance insurance accessibility and affordability through supportive policy frameworks: Governments can raise awareness of extreme weather risks and offer incentives for households and businesses to obtain adequate insurance. This can be achieved by establishing a regulatory environment that sustains market capacity, attracts new entrants, and fosters competition and innovation to broaden coverage options for consumers. 3. Develop public-private risk-sharing solutions to raise finance climate resilience: Innovative solutions such as blended finance and (re)insurance pools can help share resources and distribute risks, improving affordability and preventing the development of “insurance deserts.” Public-private partnerships (PPPs) can enhance insurance accessibility and affordability, especially in higher-risk areas. Source: asiainsurancereview.com

By Michael F. Rellosa I know the subject of this paper might seem a bit outside the typical insurance practitioner's comfort zone. But as risk managers, we can't afford to look away. These are real threats — ones we need to acknowledge and act on. Sure, we've got more than enough on our plate already. Midterm elections are just days away (please, vote wisely — for your kids, for the future). We're watching tensions rise over places like the West Philippine Sea and Taiwan. The back-and-forth of global tariffs is straining trade and disrupting supply chains. The list feels endless. But zoom out for a second. There are global issues — far bigger than our immediate concerns — that also demand our attention. Because ignoring them won't make them go away. The Bulletin of Atomic Scientists recently warned that with globalization and rapid tech advances, we're now facing several existential threats. Four of them are converging in alarming ways: climate change, nuclear risk, biosecurity and technological governance. Each is dangerous on its own. Together, they're forming a tangled web of risks that could reshape — or even end — life as we know it. 1. Climate security Climate change isn't just an environmental issue — it's a security issue. We've seen the science. We know what needs to be done. But political games and corporate interests keep pulling the agenda off course. Climate strategies are being watered down, discredited or simply ignored. And it's not just about hotter days or stronger storms. Climate change can trigger food shortages, displace entire communities and spark conflict. Yet public support for climate research is being chipped away. Disinformation spreads. Urgency fades. And with it, our ability to respond effectively. 2. Nuclear risks We've long relied on treaties like the NPT to keep nuclear tensions in check. But those agreements are fraying. As geopolitical tensions rise, the world's nuclear powers are entering a new arms race — stockpiling, modernizing and posturing instead of cooperating. Even more troubling, political instability and anti-democratic movements are increasing the chances of poor decisions in moments of crisis. One misstep, one miscalculation, could trigger something catastrophic. 3. Biosecurity vulnerabilities The pandemic was a wake-up call — but have we really learned our lesson? Public trust in science and institutions like the World Health Organization has taken a hit. That's dangerous. Vaccine skepticism and misinformation don't just harm individuals — they weaken our collective defense against future biological threats. And it's not just about viruses. Antibiotic resistance is rising. Bioweapons are a growing concern. Our world is more connected than ever, meaning any outbreak — natural or man-made — can spread fast. Without global cooperation and science-based planning, we're not ready. 4. Technological governance Artificial intelligence, biotechnology, cybersecurity — all of this hold promise. But they also come with serious risks, especially when they're developed and deployed without transparency or accountability. We're talking about autonomous weapons, surveillance tech, gene editing. These aren't just science fiction headlines. They're real tools being built and used, often without meaningful public input. The ethical stakes are massive, and the impacts hit hardest on those with the least power. So, where do we go from here? These four threats aren't separate problems. They feed into each other. Climate disasters can destabilize regions, increasing the chance of conflict. Conflict can raise nuclear tensions. Pandemics can weaken societies, giving bad actors room to maneuver. It's all connected. That's why we need a global, coordinated response — one rooted in science, diplomacy and public trust. It means supporting democratic values. Investing in education and research. Strengthening institutions and working across borders. We need leaders who think long term and citizens who hold them accountable. Because the risks are real, and the clock is ticking. Let's not wait for another disaster to remind us what's at stake. Let's act now — together and vote for the right leaders! To everyone reading this: I hope you're listening. The future depends on it. Source: manilatimes.net

Climate change induced shocks could result in at least 6% annual economic losses in one third of Asia -Pacific countries according to a new report by the UN Economic and Social Commission for Asia and the Pacific (ESCAP). The new 164-page report Economic and Social Survey of Asia and the Pacific 2025: Understanding the Macroeconomic Implications of Climate Change published in April 2025 says, “Despite driving 60% of the world’s economic expansion in 2024, several countries in the Asia-Pacific region are still not ready to cope with climate shocks and the implications of transitioning to a greener system.” The report highlights the complex macroeconomic-climate interplay. It outlines the challenges assessing the economic resilience of the region – including slower productivity growth, high public debt risks and rising trade tensions. UN under-secretary-general and executive secretary of ESCAP Armida Salsiah Alisjahbana said, “Increasing global economic uncertainty and deepening climate risks are also not making it easy for the fiscal and monetary policymakers. Navigating this evolving landscape requires not only sound national policies but also coordinated regional efforts to safeguard long-term economic prospects and tackle climate change.” Among the 30 countries from the APAC region analysed in the report, 11 were identified as more exposed to climate risks from the macroeconomic perspective. These include Afghanistan, Cambodia, the Islamic Republic of Iran, Kazakhstan, the Lao People’s Democratic Republic, Mongolia, Myanmar, Nepal, Tajikistan, Uzbekistan and Vietnam. The report reveals there are also significant disparities in coping ability across the region. The report says while some countries have mobilised sizeable climate finance and adopted green policies, others still face a range of challenges. “Extreme weather events pose a greater threat than slow-onset events due to sudden destruction and loss of wealth. This leads to collateral loss, credit defaults, business disruptions and increased asset valuation volatility. Post-disaster capital replacement, insurance claims and real estate price changes further exacerbate risks, decreasing financial stability and complicating climate investment financing,” the report said. “The rising frequencies of destructive events are driving costs higher, potentially rendering insurance unaffordable or risks uninsurable. Furthermore, while insurance distributes losses, it does not eliminate them. Even government fiscal measures to cover uninsurable losses to increase financial system stability merely redistribute costs and do not eliminate them. They also reduce funding for other fiscal priorities. Therefore, frequent, severe losses could make certain areas economically unviable for insurance.” Source: asiainsurancereview.com

The Office of Insurance Commission (OIC) secretary-general Chuchat Pramulpol and the Office of Agricultural Economics (OAE) secretary-general Chanthanon Wannakhet co-chaired a meeting to develop and drive the weather-index insurance project. The meeting reviewed the progress of the working group dedicated to enhancing support for farmers affected by natural disasters through scientific and technological approaches. Key updates included the development of a sandbox project aimed at creating a weather-index insurance product for durian crops in the eastern region, leveraging IoT technology and geographic information systems to measure wind speed and model risks accurately. The session also covered preparations for a knowledge-sharing seminar focused on the application of technology in disaster assessment for crop insurance. Additionally, it highlighted advancements in utilising satellite-based geographic information to improve the monitoring, surveying, inspection and damage assessment processes following natural disasters. The meeting further explored ongoing efforts to develop and refine agricultural insurance products and delivery models tailored to the needs of affected farming communities. Source: asiainsurancereview.com

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The Insurance Development Forum (IDF) Risk Modelling Steering Group (RMSG) has launched a new IDF web page housing a powerful suite of free, open-access risk modelling tools. Designed to advance climate and disaster risk understanding and quantification of disaster risk globally, open access to these tools responds to the needs expressed by private sector and vulnerable nations alike, for greater open access to risk information. Greater risk understanding enables nations to better manage their risks and make more informed decisions to prioritize risk management measures, which in turn facilitates the flow of investment where it is needed most, fuelling progress to more stable economies. In addition to these tools, the IDF RMSG has curated a collection of Parametric Insurance Case Studies, showcasing real-world applications of parametric solutions in regions vulnerable to climate and other disaster risks. These case studies highlight how innovative insurance structures are helping to protect infrastructure, financial systems, and communities - ranging from drought protection for hydropower in South Africa to rapid disaster response for the Mesoamerican Reef. The development of the tools was funded by IDF insurance industry members AIG, Aon, AXA, Convex Insurance, Guy Carpenter, Howden, RenaissanceRe, SCOR and WTW. IDF has partnered in developing several of the tools with Oasis and with Maximum Information. This launch is proof of the power of collaboration among IDF partners across the public and private sectors, including major (re)insurers, modelling firms, development banks, and global risk initiatives. Source: asiainsurancereview.com

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The Government Service Insurance System (GSIS) announced that it has surpassed its non-life insurance premium target for the third consecutive year, highlighting its continued role in safeguarding public assets across the country. The Manila Standard reported that the state-run insurer recorded PHP10.5bn ($189m) in non-life insurance premiums for 2024, surpassing its PHP8.9bn goal. “These achievements reflect the growing trust of government agencies in GSIS as a reliable partner in risk management,” GSIS president and general manager Jose Arnulfo Veloso said, the newspaper reported. GSIS announced that it is collaborating with the Japan International Cooperation Agency (JICA) through a technical cooperation project (TCP). The initiative aims to enhance GSIS’s risk assessment models, improve its underwriting process and raise awareness about the importance of insuring public properties. As climate risks and other unforeseen events increasingly threaten public infrastructure, GSIS also announced plans to expand its insurance coverage, support post-disaster recovery efforts and strengthen partnerships with both national and local government agencies. In addition to its traditional indemnity insurance, GSIS now offers parametric insurance, which enables the rapid disbursement of funds for cities to use in disaster recovery. Source: asiainsurancereview.com