GSIS sets aside ₱69.1M for earthquake damage claims, urges agencies to check insurance coverage

In support of President Ferdinand Marcos Jr.’s directive for a whole-of-government response to the magnitude 7.8 earthquake that affected parts of Mindanao, the Government Service Insurance System (GSIS) has earmarked an initial ₱69.1 million in loss reserves for reported damages to government properties insured with GSIS.

The move forms part of GSIS’ efforts to help government agencies and local government units (LGUs) recover quickly from the disaster and restore public services. At the same time, GSIS called on agencies to review and update their insurance coverage to ensure that public assets remain adequately protected against future calamities.

Initial reports submitted to GSIS involved 4,403 insurance policies with a total sum insured amounting to ₱23.59 billion. General Santos City accounted for the largest concentration of reported insured properties affected by the earthquake.

GSIS President and General Manager Wick Veloso said the state insurer is prepared to assist affected agencies while assessments of damages continue.

“The earthquake highlights the critical role of insurance in protecting government assets and ensuring the continuity of public services. We encourage agencies to regularly review their coverage and asset valuations so they can recover more quickly when disasters occur,” Veloso said.

The initial ₱69.1 million reserve demonstrates GSIS’ readiness to respond to valid claims as government agencies assess the impact of the earthquake on their buildings, facilities, equipment, and other public assets.

To support affected policyholders, the GSIS General Santos Branch conducted on-site inspections at Mindanao State University–General Santos, the General Santos City Government, and the Municipality of Alabel to assess the extent of damage sustained by insured properties and assist agencies in facilitating the timely submission of claims requirements.

“These site inspections allow us to better understand the extent of the damage and help affected agencies navigate the claims process. Our goal is to ensure that valid claims are processed as efficiently as possible so that government services can be restored without delay,” Veloso said.

GSIS is currently coordinating with affected agencies in General Santos City and other earthquake-hit areas to validate damage reports and facilitate the processing of claims. The amount reserved for losses may be adjusted as additional reports are received and field assessments are completed.

According to Veloso, disasters often expose gaps in insurance coverage, particularly when insured values are not updated to reflect the current replacement cost of government properties.

“Insurance should not be treated as a compliance requirement alone. It is a risk management tool that enables agencies to restore damaged facilities and resume services without placing additional strain on public funds,” he said.

As the government’s insurer, GSIS provides protection for public assets against risks such as earthquakes, typhoons, floods, fires, and other perils.

With natural disasters becoming more frequent and severe, GSIS reiterated its call for government institutions to regularly assess their insurance requirements and ensure that public properties are adequately covered before the next calamity strikes.

“Preparedness does not end with disaster response. Adequate insurance coverage is an essential component of resilience because it enables government institutions to recover more quickly and continue serving the public when they are needed most,” he added.