Former Finance Minister and current Parliamentarian Ravi Karunanayake has reminded the government that a national disaster insurance mechanism implemented through the National Insurance Trust Fund could have significantly reduced the financial and humanitarian impact of Cyclone Ditwah.
Commenting on the destruction caused by the cyclone, which damaged thousands of homes and displaced many families, he said that the National Natural Disaster Insurance Scheme introduced under the 2016 Budget was specifically designed to protect households, farmers, and small businesses from large-scale disasters.
He recalled that the scheme, which was initiated during his tenure as Minister of Finance, was implemented through the National Insurance Trust Fund Board with the support of foreign underwriters.
Ravi Karunanayake further noted that the programme enabled the payment of compensation amounting to billions of rupees following the floods and landslides of 2016 and 2017, without placing an additional burden on the Treasury.
