Reinsurance broker Guy Carpenter & Company, LLC, was awarded a grant by the Micro-insurance Innovation Facility to develop a reinsurance facility for micro-insurance and micro-finance company operations (MFIs).

The facility, a partnership between the International Labour Organization and the Bill & Melinda Gates Foundation, promotes insurance coverage in developing countries for low-income people who otherwise would not have access to commercial coverage.

Guy Carpenter said that with this grant it would create the infrastructure for a multiline micro-reinsurance risk-pooling facility to provide risk transfer solutions for MFIs. This will enable them to access the global commercial risk and reinsurance marketplace and to obtain cost-effective, efficient coverage that would be difficult for them to obtain independently on the open market, the broker said.