Several insurance contracts are affected by these recurring events: home, automobile, commercial property and agricultural property. Especially after a drought “historic” also hit France this summer, and that the estimate of compensation “does not include its effects on crops for which the loss experience is known later in the year”, the connection continues. A study published by France Assureurs in 2021 confirmed this trend: “Over the next 30 years, the amount of climate demands could almost double”.
Another bad news for insurance companies: the cost of claims. With the increase in the price of raw materials, repairs become more expensive. According to The Parisian, auto parts prices have increased by more than 8% since September 2021, the same for windscreens. According to the company Facts & Figures, home insurance contracts can increase by 3% and even up to 5% in cars, reports the daily.
In that sense, Economy Minister Bruno Le Maire will receive representatives of insurance companies on Tuesday, Bercy confirms to TF1info. “During this meeting they will discuss the sector’s proposals to support the purchasing power of the French”explains the ministry, which wants to protect the purchasing power of the French against inflation, which is constantly rising. “They will also provide an overview of topics relating to insurance companies and mutuals.”