Disaster Risk Financing Model Development: Feasibility Study for Parametric Insurance

Oxfam International; Philippines; On-site; PHP 1,200,000 - 1,500,000; Full time

Benefits offered by this job

Opportunities for professional development

Collaborative work environment

Job summary

A global humanitarian organization seeks a lead for a Disaster Risk Financing Model Development project in the Philippines. This role involves conducting a scoping study to explore parametric insurance solutions aimed at protecting vulnerable sectors from climate-related disasters. The ideal candidate will have expertise in disaster risk financing strategies and strong analytical skills to assess feasibility and stakeholders' roles in the insurance ecosystem. Commitment to inclusivity and Oxfam's principles is essential.

Qualifications

• Experience in disaster risk financing strategies and parametric insurance models.
• Strong analytical skills for feasibility assessments and stakeholder analysis.
• Knowledge of climate finance products and inclusive insurance initiatives.

Responsibilities

• Lead scoping study on disaster risk financing in the Philippines.
• Conduct feasibility assessments for parametric insurance solutions.
• Identify key roles of stakeholders in inclusive insurance ecosystems.

Skills

Stakeholder engagement

Financial modeling

Regulatory analysis

Market assessment skills

Education

Relevant degree in finance, economics, or a related field

Job description

Position titleDisaster Risk Financing Model Development: Feasibility Study for Parametric InsuranceDescriptionThe Philippines remains to be the world’s topmost disaster-prone countries for 17 years, with climate-related shocks such as typhoons, floods, and droughts disproportionately affecting low-income households and micro- and small enterprises. These recurring shocks continue to strain humanitarian systems and public resources, reinforcing cycles of vulnerability and recovery dependence.Initial evidence from Oxfam’s Anticipatory Action demonstrates that strategic investments in disaster preparedness and pre-emptive financing can reduce recovery costs, enable affected populations to resume income-generating activities faster, and strengthen resilience to future shocks. Recognizing the critical role of financial institutions in humanitarian crises, Oxfam a scoping study titled “Building Elements of Sustainable Disaster Risk Financing Strategy.” The study examined the feasibility of pre-emptive financial services based on parametric forecasting and risk modeling technologies, drawing on strong interest among financial institutions in pre-emptive and disaster-preparedness-oriented financial services. Study results reveal the following critical conditions for sustainability and uptake of anticipatory financing:* Accuracy and reliability of weather and hazard indices,* Geographic availability of index data,* Price affordability and user demand,* Client financial literacy levels, and* Availability of funding and risk-sharing mechanisms.Financial institutions emphasized that grants, subsidized funding, credit risk-sharing arrangements, technical support for product design, staff training, and financial literacy and disaster preparedness support for clients are essential to scale sustainable disaster risk financing solutions.Building on this evidence, Oxfam Pilipinas is now exploring shock responsive parametric insurance solutions as part of a broader Disaster Risk Financing (DRF) strategy that aims to protect and reduce economic shocks on vulnerable livelihoods of farmers, fishers, informal sector, MSMEs and of other vulnerable sectors. This includes assessing the feasibility of developing an insurance product for households and small businesses, either through partnerships with insurers or through the establishment or management of a Mutual Benefit Association (MBA) model.ResponsibilitiesDRF Scoping Study Lead will undertake the following:**A. Market and Ecosystem Scoping**1. Review of existing Evidence and Lessons learned from Oxfam multiple AA projects implementation, and Building Elements of Sustainable Disaster Risk Financing Strategy study and identify key success factors, gaps, and unresolved feasibility questions.2. Identify key roles and incentives of key stakeholders in the Philippine disaster risk and inclusive insurance ecosystem, including:* Parametric and index-based insurance initiatives* Microinsurance and climate finance products* Government agencies such as Insurance Commission, PCIS, GSIS, Insurers, reinsurers, brokers, MBAs, cooperatives, MFIs, banks, and development actors.**B. Feasibility Assessment**1. Business, Funding, and Partnership Models* Analyze and compare institutional options: + Partnership with insurers/reinsurers + Oxfam as facilitator or aggregator + Establishment or management of an MBA* Assess funding requirements, including: + Grants and premium subsidies + Credit risk-sharing mechanisms + Technical assistance needs2. Regulatory and Institutional Analysis* Review regulatory requirements for Parametric and microinsurance products* Consumer protection and disclosure* Establishment and governance of MBAs* Identify compliance risks and enabling conditions.3. Assess suitability of hazard indices based on:* Accuracy, reliability, and geographic coverage* Timeliness for anticipatory payouts* Basis risk and client trust considerations4. Demand, Affordability, and Uptake* Assess demand and willingness to pay among households and small businesses.* Analyze affordability constraints and subsidy needs.* Review implications of client financial literacy and disaster preparedness levels on product uptake.**C. Recommendations*** Proposed business model based on comparative feasibility assessment using criteria such as: + Financial sustainability + Regulatory viability + Partnership requirements + Operational requirements for entity setting-up + Alignment with anticipatory action principles + Other factors to consider* Ability to demonstrate collective leadership, program management, sensitivity to cultural differences and gender issues, as well as the commitment to equal opportunities.* Ability to demonstrate an openness and willingness to learn about the application of gender/gender mainstreaming and diversity for all aspects of development work.* Commitment to Oxfam’s feminist principles and safeguarding policies to ensure all people who come into contact with Oxfam and its partners are as safe as possible.* **Equality -** We believe everyone has the right to be treated fairly and to have the same rights and opportunities.* **Empowerment -**We acknowledge and seek to expand people’s agency over their lives and the decisions that impact them.* **Solidarity -** We join hands, support, and collaborate in working towards a just and sustainable world.* **Inclusiveness** – We are open to everyone and embrace diversity. We believe everyone has a contribution to make, regardless of visible and invisible differences.* **Accountability** – Our purpose-driven, results-focused approach means we take responsibility for our actions and hold ourselves accountable. We believe that others should also be held accountable for their actions* **Courage -**We speak truth to power and act with conviction on the justice of our causesJob LocationPhilippines