In response to increasing climate-related damages, French insurance premiums for natural disasters are set to rise significantly in 2025. The ‘natural disaster’ surcharge will increase from 12% to 20% for homeowners and from 6% to 9% for auto insurance. The change, effective January 1, follows a 25-year freeze on rates, as the government aims to bolster compensation systems amidst escalating disaster costs, projected to double in the next 30 years. The average household will see an annual increase of approximately 17 euros, while insurers call for greater preventive measures against natural risks.

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