The Bureau of the Treasury (BTr) is set to file a claim under National Indemnity Insurance Program (NIIP) for the repair and reconstruction of 45 public schools across eight regions damaged by Typhoon Carina and the southwest monsoon (Habagat), the Department of Finance (DOF) said Thursday.
Launched in January, the NIIP insures government assets against fire, lightning, typhoons, floods, earthquakes, and volcanic eruptions.
For the national indemnity program’s pilot run, the DOF said that the Treasury secured coverage for 132,862 school buildings nationwide with a total insured value of P843.11 billion.
The Finance Department, the BTr, the Department of Education (DepEd), and the Government Service Insurance System (GSIS) are actively coordinating the filing of insurance claims under the NIIP as the cost of damage to public schools has so far tallied to P308.5 million.
Once a payout is confirmed, the DOF said the DepEd will be able to utilize the funds for the repair and reconstruction of the said schools.
“I commend the Bureau of the Treasury for its proactive steps in implementing the National Indemnity Insurance Program. Protecting our national assets is crucial for ensuring the economic security of our people,” said Finance Secretary Ralph Recto.
“Damaged school buildings pose a significant threat to this security, as they are the very places where we nurture the potential of our nation’s greatest treasure—our students. Poor school facilities negatively impact both teachers and students, leading to lower human capital development, reduced economic productivity, and persistent poverty. Thus, we must prioritize investing in resilient school buildings to secure a better future for our children and our country,” said Recto.
For her part, National Treasurer Sharon Almanza said the implementation of the national indemnity program underscores the commitment of the Treasury and the DOF “to ensure the nation’s financial resilience against disasters.”
“We are actively coordinating with both DepEd and GSIS to ensure the timely assessment and payout of the program,” said Almanza.
The DOF said the NIIP forms part of the government’s Disaster Risk Finance strategy, which aims to protect the government’s fiscal health, provide immediate liquidity post-disaster, and reduce the impact of disasters on the most vulnerable.
Other instruments under the strategy are the Quick Response Fund, the Local and National Disaster Risk Reduction and Management Fund, and the Disaster Stand-by Loan facilities secured by the DOF.
—RF, GMA Integrated News
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