DEVELOPING AN INCLUSIVE INSURANCE SYSTEM IN UZBEKISTAN UNDER CLIMATE DISASTER CONDITIONS: THEORETICAL FOUNDATIONS AND INTERNATIONAL EXPERIENCE

Abstract

Intensifying global climate change is driving a marked rise in the frequency of natural disasters and the scale of related economic losses. Low-income households remain the most vulnerable, constrained by limited financial resilience and restricted access to risk-sharing mechanisms. Although insurance is widely recognized as a core instrument for post-disaster recovery, markets in many developing economies still lack sufficient inclusiveness. This paper adapts the conceptual framework of Ceres’s Climate-Related Disaster Insurance to the context of Uzbekistan’s non-life insurance market, climate-risk profile, and regulatory conditions. Empirical evidence shows that despite rapid market expansion, insurance penetration remained only 0.8% of GDP in 2023–2024. Given escalating climate-related risks, the introduction of parametric, micro, and meso-insurance models, alongside regulatory measures that enhance transparency and equity, represent the most promising pathways for building an inclusive insurance system. The article concludes with policy recommendations for designing an inclusive insurance framework tailored to Uzbekistan’s institutional and economic environment.