Connect with us

Finances

Unlocking Insurance coverage Firm Capital for Neighborhood Funding

Published

on

Spread the love

Washington, D.C., April 1, 2024 – In collaboration with the Robert Wooden Johnson Basis, the Heart for Neighborhood Funding (a sponsored challenge at Rockefeller Philanthropy Advisors) seeks concepts and knowledge from insurance coverage and reinsurance firms, brokers, swimming pools, and different associated trade entities that want to put money into funds or constructions that ship concrete social profit to communities however face obstacles to structuring viable transactions. Concepts obtained via this RFI might inform a future assure program meant to beat these obstacles, catalyze funding, and inform coverage change. Examples of obstacles might embody risk-based capital expenses; regulation; liquidity; return.

Advertisement

About The Robert Wooden Johnson Basis

The Robert Wooden Johnson Basis (RWJF or the Basis) is the most important philanthropy centered completely on well being fairness towards the aim of all People having the chance to dwell their healthiest life attainable. The Basis is rated AAA by S&P and Moody’s and makes use of grants, affect investments, and advocacy to speed up programmatic priorities that enhance well being.

CCI and RWJF have recognized the insurance coverage trade as a possible supply of much-needed further funding in neighborhood improvement, provided that insurers are each important asset homeowners and suppliers of crucial insurance coverage services on the bottom. RWJF’s affect funding program has dedicated each grant funding and funding assets to an initiative to higher perceive what it could take to extend insurer funding in neighborhood improvement, together with reasonably priced housing, local weather resilience and well being fairness, with a selected concentrate on underserved communities.

Advertisement

Goal

This Request for Data (RFI) is in search of examples of neighborhood funding alternatives which might be into consideration by insurance coverage firms however can’t be pursued as a result of a number of institutional constraints. Particular consideration is given to alternatives the place the risk-based capital remedy of the funding is the first barrier. Different components might embody funding dimension, liquidity, danger and/or return profile, funding construction (e.g., debt versus fairness) and others. Funding alternatives should be based mostly in the USA and have a demonstrable constructive affect on low-income communities, ideally underserved communities of shade. Examples of potential investments might embody, however should not restricted to, reasonably priced housing, small enterprise lending, neighborhood improvement monetary establishments, neighborhood banks, and others.

Respondents could also be thought of for a assure program to be supplied by RWJF to mitigate a number of of those obstacles, offered that the assure unlocks new insurance coverage firm capital for the topic funding and demonstrates a reputable pathway ahead for continued funding in the identical or comparable alternatives with out further guaranties. As well as, these examples could also be shared to bolster ongoing trade efforts by RWJF and others to drive better participation by insurers to advertise broader targets reminiscent of racial fairness and local weather resilience.

Advertisement

Submissions

Topic to the Acknowledgments and Representations under, submissions must be particular to the funding alternative being thought of and, at minimal, embody the next:

  • Description of funding alternative into consideration, together with sponsor entity (e.g., borrower, fund supervisor, different middleman, and many others.)
  • Goal capital elevate and quantity being thought of by insurer
  • Excessive stage funding phrases, together with funding construction, time period, goal return, and many others.
  • Rationalization of how the funding has a direct tie to and profit for low earnings communities
  • Rationalization of what institutional constraints (monetary or in any other case) presently stop the insurer from finishing the funding and what could be required to beat these obstacles

Please submit your ideas no later than shut of enterprise on April 30, 2024. Submissions will probably be reviewed by CCI or its designees on a rolling foundation. Requests for clarification must be despatched to Kevin Progar on the Heart for Neighborhood Funding at kprogar@centerforcommunityinvestment.org.

Acknowledgements and Representations

By responding to this RFI, you acknowledge that (1) the knowledge offered could also be shared with RWJF and others (2) your submission might not lead to a transaction with RWJF or CCI and doesn’t bind you, RWJF or CCI to any dedication or contract; (3) you’ll not obtain any compensation, financial or in any other case, for the knowledge offered in your proposal, whether or not or not the proposal results in a grant or funding; (4) RWJF or CCI might use the knowledge you submit in reference to the event of its programmatic work which can not profit you instantly or not directly; and (5) you consent to being contacted for additional dialogue.

Advertisement

By submitting a proposal, you signify that (1) you might have the precise to submit the knowledge; (2) nothing you might have submitted is taken into account to be confidential or a commerce secret or that comprises confidential info or commerce secrets and techniques of every other particular person; (3) nothing you might have submitted infringes upon the mental property or different rights of any particular person; and (4) the knowledge you submit is truthful and never deceptive.

Subjects
Carriers

Advertisement

Concerned with Carriers?

Get automated alerts for this subject.

Advertisement
Advertisement
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *