In preparation for a potentially destructive hurricane season, exacerbated by the effects of climate change, an environmental group has taken the proactive step of insuring Hawaii's delicate coral reefs for $2 million. This groundbreaking insurance policy, secured by The Nature Conservancy and underwritten by Munich Re, marks the first of its kind in the United States. Triggered by wind speeds reaching 57 mph in close proximity to the reefs, the policy can provide up to $2 million in payouts to facilitate swift repair and restoration efforts following storm damage.
This innovative approach comes as the Central Pacific Hurricane Center predicts a "near-to-above normal" hurricane season, anticipating four to seven tropical cyclones in the Hawaiian region between June and November. While not all of these storms are expected to make landfall, the increased risk underscores the importance of protective measures. The insurance policy, costing approximately $100,000, has been funded by private contributors including the Bank of America Charitable Foundation and the Howden Group Foundation.
This initiative follows similar successful reef insurance programs implemented in Quintana Roo, Mexico, and for the Mesoamerican Reef spanning southern Mexico, Belize, Guatemala, and Honduras. Hawaii's coral reefs form a vital part of the nearshore ocean ecosystem, playing a crucial role in the state's economy and overall well-being. They act as natural barriers, protecting populated coastlines from powerful ocean swells and storm surges, a benefit valued at over $860 million annually by the U.S. Geological Survey.
Considering tourism revenue, fishing, cultural significance, and other factors, the total value of Hawaii's reefs surpasses $33 billion, according to a study funded by the National Oceanic and Atmospheric Administration. Makale‘a Ane, who spearheads community engagement and partnerships for The Nature Conservancy, emphasizes the deep cultural connection of Native Hawaiians to the reefs, highlighting their importance in the creation chant, the Kumulipo. Recognizing the vulnerability of island life, Ane stresses the critical need for reef protection.
