Alongside its goal of widening protection for Filipino families against typhoon and flooding risks.
Following recent heavy monsoon rains and destructive typhoons, which continue to inundate communities across the country, microinsurance firm CashKO, a subsidiary of Philippine InsurTech firm RuralNet, is scaling its calamity microinsurance program nationwide.
The move aims to provide an immediate financial safety net for underserved Filipino households, especially with the need becoming increasingly urgent.
According to the data from the National Disaster Risk Reduction and Management Council (NDRRMC), about 7.5 million people were affected by the combined effects of tropical cyclones Luis, Maymay, Neneng, and the southwest monsoon (Habagat).
The company also noted that these natural disasters also increase risks for Microfinance Institutions (MFIs), which may face payment challenges and greater exposure across their lending portfolios.
Speaking at the 2026 Microfinance Council of the Philippines Inc. (MCPI) annual conference, Justin Arcenas, President and CEO of CashKO Insurance Brokerage, shared some important information.
According to him, demand for financial protection is evident in 2024 survey data showing 87% of MFI borrowers expressing interest in calamity protection and identifying typhoons as their primary concern.
To address these vulnerabilities, CashKO is expanding its calamity protection plans through RuralNet’s digital and API-driven platform.
CashKO said that by delivering a “made-to-measure” microinsurance model that tailors coverage parameters, payout thresholds, and loan integration to fit the specific needs and risk profiles of each partner organization’s members.
This model, the company said, facilitates rapid emergency liquidity when disasters hit, building on the success of an initial pilot that delivered critical relief payouts to victims of Typhoons Tino and Uwan in 2025.
Meanwhile, to balance thorough loss verification with immediate emergency needs, CashKO’s scaled program combines traditional indemnity insurance with an upcoming parametric insurance model.
“The indemnity insurance, which is currently available, provides payouts based on verified damage to a policyholder’s home, supported by photos and required documentation. This provides a familiar claims-based approach, but large-scale disasters can make individual damage assessment and documentation more challenging as claim volumes increase,” they detailed.
In the fourth quarter of 2026, CashKO will alsp launch its parametric insurance program to introduce a faster way of responding to certain disaster events.
In the upcoming program, predefined disaster conditions, such as typhoon category or earthquake magnitude, and satellite and ground-station data woll be used to assess individual losses.
Thus, payouts can be activated once the agreed thresholds are reached, reducing the need for lengthy individual claims assessments—doing away from assessments before a payout can be triggered.
“For vulnerable communities, the value of insurance is measured by how quickly and effectively it can help them recover when disaster strikes,” noted Arcenas. “By combining indemnity and parametric protection, we can offer borrowers and financial institutions solutions that are better suited to their different needs, while making critical assistance faster and more accessible. Our goal is to ensure that a calamity does not become a setback that pushes families further into financial hardship.”
“Under these programs, eligible assistance can typically provide around PHP 5,000 in emergency support, giving affected borrowers access to critical liquidity that can help address urgent expenses following a calamity,” the company furthered.
Since 2019, CashKO’s microinsurance network has reached over 6 million underserved Filipinos. Over the years, it has approved over 33,000 total claims, including more than 16,000 processed in 2025 alone.
DISCLAIMER:
This article does not constitute professional, financial, legal, or insurance advice. Every effort is made to present general news and trends in the insurance industry, but this should never act as a substitute for consulting with a licensed insurance agent, financial advisor, or legal professional.
