Central Bank of the Solomon Islands delivers first parametric microinsurance payouts totalling SBD 8,800 under regulatory sandbox

The Central Bank of the Solomon Islands announced the country’s first climate risk parametric insurance payouts, delivered through the TrigaCash parametric microinsurance product operating in the central bank’s regulatory sandbox after a heavy rainfall event in January 2026. A total of 35 YouSave member policyholders received SBD 8,800 in aggregate, with all payouts made within two weeks of the rainfall event. Triggers were based on the Strike 1 rainfall threshold of more than 255 mm and less than 380 mm and validated using satellite data from the European Centre for Medium-Range Weather Forecasts, with funds paid directly into M-SELEN mobile wallets via a fully digital mechanism. While TrigaCash is currently offered in Guadalcanal and Malaita, rainfall triggers were recorded in Guadalcanal and Honiara, with payout recipients concentrated across communities including Malango, Nggosi, Mataniko, Saghalu, Vatukulau, Mbumburu, Vavaea, and Tangarare; 40% of claims came from the SBD 160 premium tier with SBD 2,000 risk cover and 60% from the SBD 320 premium tier with SBD 4,000 risk cover. The initiative was launched in May 2025 in partnership with Trans Pacific Assurance Limited, M-SELEN and YouSave (Solomon Islands National Provident Fund), with support from the UN Capital Development Fund’s Pacific Insurance and Climate Adaptation Programme. The central bank said the pilot will continue to be monitored, with longer-term plans to scale the product nationally.