Martín Vallcorba, undersecretary at Uruguay’s Ministry of Economy and Finance, called for broader insurance coverage against climate and cyber risks and instruments to address longevity risk alongside the pension system. Speaking at an event organized by the Uruguayan Association of Insurance Companies (AUDEA), he emphasized insurance’s role in managing risks and enabling investment, rather than simply compensating for losses. Awareness of cyber risks and insurance coverage against them remain low among Uruguayan businesses. Expanding protection against emerging risks requires action by insurers and private businesses. Adequate coverage can preserve business continuity, accelerate recovery and reduce reliance on borrowing and public assistance. By lowering companies’ risk, insurance should also improve access to financing from banks and capital markets. Insufficient coverage, by contrast, can lead to improvised public support with undesirable effects on incentives. Demographic change and longevity risk create a need for financial instruments that complement the pension system. Public sector work is already under way on private insurers’ participation in the pension annuities market.
Uruguay’s Ministry of Economy and Finance stresses need for broader climate and cyber risk insurance coverage
At an insurance industry event, Martín Vallcorba, undersecretary at Uruguay’s Ministry of Economy and Finance, urged broader climate and cyber risk coverage, highlighting low cyber risk awareness and coverage among businesses. He linked insurance to faster recovery, improved financing access and less reliance on public assistance. He also highlighted longevity risks and ongoing public sector work on private insurers’ participation in pension annuities.