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Insurance Hope For Low Income Earners

Insurance Hope For Low Income Earners
Attorney-General Aiyaz Sayed-Khaiyum at the Grand Pacific Hotel, Suva, on June 3, 2017. Photo: Jone Luvenitoga
July 04
09:28 2017

Government has set aside money which low income earners will be able to access to pay premiums to insure their homes.

This was highlighted by Attorney-General and Minister for Economy and Minister Responsible for Climate Change, Aiyaz Sayed-Khaiyum, yesterday at the Climate Action Pacific Partnership event at the Grand Pacific Hotel in Suva.

He was one of the panellists on public and private financing and insurance and gave an overview of what Government was doing to help Fijians.

He said money had also been allocated for crop insurance through which farmers could insure their crops like dalo, sugarcane.

Attorney-General Aiyaz Sayed-Khaiyum at the Grand Pacific Hotel, Suva, on June 3, 2017.  Photo: Jone Luvenitoga

Attorney-General Aiyaz Sayed-Khaiyum at the Grand Pacific Hotel, Suva, on June 3, 2017. Photo: Jone Luvenitoga

In Fiji, he said, only 10 per cent of homes were insured because the majority could not afford to meet the criteria set up in our building codes. He has been having a series of meetings with the Insurance Council of Fiji to convince them to have affordable insurance products available which would give low to middle income earners the chance to insure their homes.

He said that before the next cyclone season, which starts in November, insurance companies would be launching affordable insurance products.

Mr Sayed-Khaiyum also stressed on the need to invest in infrastructure to make it withstand the effects of climate change. He gave the example of how utilities like electricity lines were now underground along the new four-lane road from Nadi International Airport.

This exercise, he said, cost $20million more but that means that in the event of another devastating cyclone, the power lines would not take a hit, as was seen during the devastation left in the wake of Tropical Cyclone Winston.

He further called for the need for middle income countries, like Fiji, to access some concessional funds in the event of natural disasters. Currently, since Fiji is said to be a middle income country, we do not have access to certain climate funds.

Mr Sayed-Khaiyum explained that tropical cyclones like Winston and Pam could set a country’s development back by a decade or two. Therefore, to counter that, it was important that concessional funds are made accessible.

Edited by Naisa Koroi

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