JBA has acted as Calculation Agent for the South East Asia Disaster Risk Insurance Facility’s (SEADRIF) flood parametric insurance policy in Lao PDR since 2021, supporting transparent and data-driven payouts to strengthen financial resilience.
SEADRIF is a regional initiative established under the ASEAN+3 framework, with technical support from the World Bank. It aims to strengthen financial resilience by providing governments with rapid funding for disaster response and recovery.
Home to more than 650 million people, the region is highly vulnerable to climate and disaster shocks. By pooling financial resources across countries, SEADRIF provides governments with access to emergency funding when disasters strike. This allows affected communities to receive timely support and enables governments to respond more effectively.
Similar regional risk pools exist in the Pacific (PCRAFI), the Caribbean (CCRIF), and Africa (ARC).
To support timely and data-driven decision-making, SEADRIF’s system monitors inland and coastal flooding across its participating countries. Using a combination of hydrological modelling, satellite data, and local gauge measurements, the system estimates flood extent and analyses the number of people affected. When predefined impact thresholds are exceeded, SEADRIF’s parametric insurance policy triggers payments, facilitating the rapid distribution of funds in response to major flood events.
Lao PDR became the first country to take up a SEADRIF policy in 2021. As Calculation Agent, JBA plays a critical role in supporting data-driven, transparent insurance payouts that align with policy terms. This includes:
In 2024, SEADRIF made a $3 million payment to the Government of Lao PDR following severe flooding from Typhoon Yagi. As Calculation Agent, JBA played a key role in verifying that the event met the payout criteria, ensuring funds were released quickly to support recovery efforts.
By providing rapid and predictable funding, SEADRIF – supported by JBA’s independent analysis – enables governments to protect lives, livelihoods, and critical infrastructure from the increasing risks posed by climate shocks and disasters.
Contact our team to learn more about this project.
