Good practices for mitigating and financing catastrophic risks | version française (pdf)
These good practices provide governments and relevant public and private institutions with an integrated, action-oriented framework for the identification of disaster risks, promotion of risk awareness, enhancement of prevention and loss mitigation strategies, and design of compensation arrangements. They were adopted as a Recommendation by the OECD Council on 16 December 2010.
Recent years have seen a rise in the frequency and impact of both natural and man-made catastrophes. The considerable human toll and financial losses resulting from the 2010 earthquakes in Haiti and Chile, the oil spill in the Gulf of Mexico, and most recently the floods in Australia and earthquake in New Zealand, not to mention terrorist attacks, are only the latest reminders of the world’s exposure to large-scale disasters. In times of economic crisis, the need to manage catastrophe risk efficiently becomes more pressing as the cost of catastrophes can be a major drain on governmental resources.
These good practices, which draw on the work completed by the OECD in this area over more than a decade, are geared toward achieving the following main objectives: