Inclusive Insurance in El Salvador

Developing Appropriate Insurance for the Vulnerable

In El Salvador, a variety of central government entities, such as the Superintendency of the Financial System (SSF) are working with the Salvadoran Association of Insurance Companies (ASES) and the entire insurance industry to develop actions that promote and facilitate access to appropriate products and services for the most vulnerable segments of the population.

• In 2019, El Salvador created the National Council for Inclusion and Financial Education, which led to the drafting of the National Financial Inclusion Policy Document in 2021. Although the document includes microinsurance within its scope, more focused work needs to be done to foster product development.
• The country's population is highly exposed to climate risks and natural disasters. In addition, the country's labour market suffers from a high unemployment rate amongst young people, which, together with other barriers, has limited their opportunities for economic growth, resulting in high levels of crime and delinquency. Women, especially those living in rural areas, as well as migrants could also benefit from insurance.
• ASES recently joined the Microinsurance Network and El Salvador now features in the Landscape of Microinsurance Study, with the MiN collaborating to help boost the inclusive insurance market in the country.

A Spanish language version of this report is available on request