Natural catastrophes, intensification of seaside tourism and industrial pollution are the three major factors contributing to the degradation of the marine ecosystem. The coral reef, which is a real barrier against swell and a shelter for various aquatic species, pays a heavy toll for this environmental damage.
In Mexico, a very good initiative has seen the light of day. As of September 2017, the city of Cancún will insure nearly 60 km of its coral reefs. The reinsurer Swiss Re has developed a specific coverage for this risk. Contributions between 1 and 7.5 million USD will be made by local hotels, private companies and the government to cover damage caused to the coral reef and to the beaches.
In case of loss, the insured will receive between 25 and 70 million USD to restore the coral barrier and the shoreline.