Cabinet Approves National Disaster Insurance Covering 30 Million Homes

The Cabinet has approved a National Disaster Insurance system protecting approximately 30 million residential properties against flooding, windstorm, and earthquakes, with coverage beginning October 1st. Government spokesman Ekaphop Piyapishet announced the decision at Government House on September 15th, stating that the system represents a shift in state disaster management from post-event relief to advance risk management through insurance. As disasters grow more frequent and severe due to climate change, the insurance system allows the state to assess, plan, and determine which risks it retains and which it transfers to insurers, reducing budget uncertainty and enabling faster compensation to affected citizens.

Residential coverage extends to approximately 30 million homes according to registration statistics. Compensation is structured in tiers: flooding provides an initial payout of 10,000 baht with additional coverage up to 90,000 baht per incident; windstorm and earthquakes offer an initial 5,000 baht with additional coverage up to 95,000 baht per incident. The system also covers death benefits of 2 million baht per person from these disasters. The Office of Insurance Commission will work with the Thai Non-Life Insurance Association to select qualified, stable, and reliable insurers capable of rapid claims processing. The Department of Disaster Prevention and Mitigation will manage budget disbursements to insurers. The government states this approach enables citizens to access rapid compensation while allowing the state to systematically assess and manage risk, stabilize budget planning, and improve disaster management efficiency in response to increasingly frequent and severe hazard trends.