IDF & Bridgetown Initiative partner to drive integration of insurance into vulnerable communities

The Insurance Development Forum (IDF) and the Bridgetown Initiative have partnered to drive deeper integration of insurance into the international financial architecture (IFA) as a key part of the toolkit for enhancing resilience in Emerging Markets and Developing Economies (EMDEs).

The Bridgetown Initiative is a global campaign that advocates for the transformation of the IFA to better address the urgent needs of climate-vulnerable countries.

Escalating climate-related catastrophes disproportionately impact least developed countries, disrupting development plans and reversing hard-won gains when natural disasters strike.

“Strengthening the physical and economic resilience of these economies is essential, not only to withstand the impacts of disasters, but also to unlock greater investment and support their critical development, resilience and growth agendas,” IDF highlights.

The IDF-Bridgetown Initiative partnership aims to position insurance as “a central enabler in the global response to climate and other natural disaster risks.”

Its objective is to harness the full capabilities and functions of the insurance industry in enhancing resilience for vulnerable nations.

In a first step, the new partnership will publish a seminal paper during London Climate Action Week. This paper will outline actionable recommendations for both public and private sectors to bolster insurance’s role in climate protection.

It emphasizes the need for close cooperation among the insurance industry, EMDE governments, Multilateral Development Banks (MDBs), bilateral donors and regulators.

Following the paper’s launch, the IDF and Bridgetown Initiative will jointly drive implementation of these recommendations through political engagement and technical work.

Specifically, the Bridgetown Initiative will engage key global forums, including the COP30 Presidency, to ensure insurance is integrated into global international financial architecture (IFA) reform discussions, particularly for climate-vulnerable nations.

Additionally, the IDF will lead the technical design and execution of insurance solutions in countries where the approach proposed in the paper can be demonstrated, and represent the insurance industry in high-level policy reform platforms.

Together, they will advocate with EMDE governments to champion the inclusion of insurance in global IFA reform processes.

The Government of Denmark, through the Danish Ministry of Foreign Affairs, supports the development of this paper. The partnership is further supported by funding from the Quadrature Climate Foundation, a charitable foundation working to build a just, equitable, and low-carbon future.

Ekhosuehi Iyahen, Secretary General, Insurance Development Forum, said: “This partnership brings together the Bridgetown Initiative’s deep, practical understanding of the realities faced by vulnerable countries with the IDF’s technical insurance expertise, global reach, and our combined proven track records of project execution in emerging and developing markets.

“The upcoming paper will provide a clear pathway to embed insurance within development finance strategies and support countries in strengthening their long-term resilience. We are united by a shared commitment to move beyond theory to implementation.”

Katherine Stodulka, Programme Director, Quadrature Climate Foundation, said: “The new climate reality demands bold leadership and a sharper focus on proven tools that can build resilience and accelerate our response to escalating climate risks. Tackling this challenge requires catalytic partnerships across the financial system.

“This is why we support the collaboration between the Insurance Development Forum and the Bridgetown Initiative. We welcome the upcoming paper and the next phase of implementation, which will help strengthen resilience in countries and communities that are most exposed to climate impacts and often underserved by traditional financial mechanisms to manage risk.”

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