Adoption of Climate Microinsurance: Mitigation and Data Recovery Against Natural Disasters

Abstract

Objective: The objective of this study is to evaluate the feasibility of a more comprehensive implementation of climate microinsurance, bringing more accessibility and adequate support to the low-income population in Brazil as a way of mitigating and recovering data caused by natural disasters. Theoretical Framework: Addresses the risk profile for natural disasters in Brazil, in addition to investigating the relationship between natural disasters and the insurance contract. Method: The methodology adopted was exploratory bibliographic research by carrying out a study based on sources of information available to the general public, using graphs and statistical tables and methods from analyzed bibliographic sources. Results and Discussion: Critical success factors for microinsurance were identified. As a quantitative study, the market potential for climate microinsurance in the country was analyzed, identifying municipalities in the Brazilian territory exposed to risk and essential characteristics for modeling the profiles of the population residing in these areas. Research Implications: This research allowed us to deepen studies related to natural disasters in Brazil, with emphasis on the market potential of climate microinsurance. Originality/Value: The purpose of this research is to disseminate the importance of searching for innovative protection mechanisms, which are adaptable to climate change and are more inclusive, with emphasis on parametric climate microinsurance.