CCRIF SPC, the catastrophe risk insurance facility for Caribbean and Central American governments, said on 15 October 2026 that Panama's earthquake policy had been triggered. The government will receive $17.4m, which CCRIF said it will pay within 14 days of the earthquake.
The magnitude 7.7 earthquake struck at 12:56 local time (17:56 UTC) on 9 October, with its epicentre near Pitaloza Arriba on the Azuero Peninsula. CCRIF's SPHERA earthquake model estimated peak ground acceleration of up to 0.5 g in Panama, the only member country where modelled shaking passed the 0.03 g reporting threshold. Modelled losses to the government exceeded the attachment point of the policy, which Panama bought through its sovereign savings fund, the Fondo de Ahorro de Panamá.
Because the cover is parametric, the amount follows the modelled hazard and loss rather than an inspection of damage on the ground. Panama's civil protection agency SINAPROC reported on 12 October damage to homes, schools, hospitals, public buildings and roads, with 656 schools affected and 598 people in 14 shelters. No deaths or missing people had been reported at that time, CCRIF said.
Panama joined CCRIF in 2018. Its three earlier payouts, for excess rainfall linked to Hurricane Eta in 2020 and for rain events in 2024, came to about $29m, so the new payment will take its total to about $47m. CCRIF said this will be its 83rd payout since 2007, with cumulative payouts above $500m. Chief executive Isaac Anthony said the money will give the government "immediate liquidity" when it is most needed.
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CCRIF SPC ↗Company · 15 Oct 2026
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