May 10, 2021 — CANADA’s Institute for Catastrophic Loss Reduction is planning to move beyond scientific research and offer concrete solutions and cost analysis to reduce the impact of catastrophic events.
In order to carry out this expanded mandate, the ICLR board has authorized the organization to increase assessments from its member companies by 50% for 2022 to increase its operating budget.
The cost of catastrophic events has risen considerably in Canada over the past several decades and now averages $1.6bn a year.
“It has become clear that ICLR’s provision of excellent science and clear actions to reduce the impact of these hazards and build more resilient communities, as climate change advances, is not enough to reduce the increasing frequency nor cost,” ICLR board chair Carol Jardine said during the organization’s recent annual general meeting.
Ms. Jardine, who is president of Canadian p&c operations at Wawanesa Insurance, said the ICLR has been speaking with the CEOs of its insurer members and found a clear consensus that the institute needs to be aggressive in seeking changes that would build more resilience in Canadian communities and reduce the trend of larger and more frequent disasters.
As a result, the ICLR is working on a five-year strategic plan to begin in 2022 which will incorporate that vision.
The plan will be built around the idea of building back better following major loss events and championing resilient new construction.
The institute will become more active in developing building standards as part of its research efforts going forward, Ms. Jardine said, and will include cost-benefit economics to drive the adoption of its recommendations.
It will also work with property owners and municipalities to educate and provide solutions to improve the resiliency of buildings and communities.
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