Several episodes of bad weather hit France hard during May and June. Thousands of people find themselves affected with sometimes considerable damage. Professionals in the home insurance sector estimate a total cost of more than 1 billion euros.
For several consecutive years, France has been facing a succession of severe weather, usually declared in a state of natural disasters. The victims can thus request a compensation with their insurance company.
France Assureurs draws up an initial assessment of the bad weather in May and June 2022.
The last two episodes have made thousands of victimsdozens of injuries and one death:
- May 20 to 23 : thunderstorms hit Vendée, Loire-Atlantique and the South-West. More 93,000 inhabitants suffered property damage at a cost of €323 million ;
- June 2 to 5 : on Friday June 3, thunderstorms, heavy flooding and hailstorms affected the South-West and the Massif Central. The next day, thunderstorms became widespread and caused mudslides in the Grand Est. The amount of damage is estimated at 940 million euros whose 410 million for home insuranceand 370 million for car insurers .
In total, these bad weather will cost nearly 1.263 billion euros.
Will natural disasters drive up the housing premium?
The scientific community is formal. the global warming is mainly the cause of repeated episodes of natural disasters as well as climate change. 49.6°C last June in a small Canadian town, a very late frost causing havoc in French viticulture, floodsin Germany and Belgium last summer causing the death of 90 people… The list is long and it will only grow longer, just like the home claims.
As a result, will the prices of home insurance be adjusted? Today the natural disaster fund (Cat’Nat)also called the Barnier fund, is funded by a tax levied on all multi-risk home contracts, up to 12% . Gold, this fund is currently in deficitgiven the many natural disasters that regularly affect France. Indeed, France Assureurs, in a study published in October 2021, estimated that the amount of claims could reach 143 billion euros within 30 years .
This tax will probably change in the years to come so that the victims can be properly insured. The home insurance premiums could therefore increasein the years to come, especially in areas at risk.