Top insurers have published a framework for overhauling the financial response to natural catastrophes in climate-vulnerable countries.

The Disaster Resilience Framework for Climate-Vulnerable Countries, from the Insurance Task Force, is aimed at proactively protecting countries most vulnerable to rising sea levels and extreme weather events via a new public-private investment approach.

Uninsured economic losses from natural catastrophes in developing and emerging countries remain well above 90% of total losses.

“For highly vulnerable people in these regions especially, resilience against ever-greater weather risks is crucial for creating long-lasting prosperity,” Munich Re Chairman Joachim Wenning said.

The new framework highlights potential for multilateral development banks, international aid donors and the private sector to partner to create high-impact financing and risk mitigation solutions. It helps address perils including drought, flooding tropical cyclones, convection storms, and wildfire.

“This framework creates a vital opportunity for low- to middle-income countries to build resilience against increasingly frequent and severe weather risks, as well as driving sustainable societal and economic recovery post-disaster,” Chair of Lloyd’s and the Insurance Task Force Bruce Carnegie-Brown said.

The global insurance industry has a crucial role to play alongside private finance, international donors and sovereign agencies in addressing the needs of developing countries, he says.

The Insurance Task Force is part of the Prince of Wales’ Sustainable Markets Initiative.