Once they become law, the announced measures will move in two directions and will affect two lines of insurance: health and property. Their impact will clearly differ, both for policyholders (existing and prospective) and for the insurance business.
The measures
- Immediate abolition of the 15% tax on health insurance for children up to 18 years old.
- The ENFIA property tax discount rises by 20% for owners who insure homes worth up to €500,000.
- Higher-value properties will keep the 10% discount if they are insured. Those that are not insured will not be compensated by the state for damage from April 2025.
- All businesses with a turnover of more than €500,000 will have to be insured against natural disasters. Otherwise, they will not be compensated. As a reminder, on 03/07/2024 the new Law on private insurance against natural disasters was published. It requires businesses with gross revenue of more than €2,000,000 to insure against fire, flood and earthquake. Non-compliance carries a fine of ten thousand euros, which doubles if the business has not complied within 30 days. In addition, businesses that do not comply are excluded from state grants for material damage.
- All vehicles, for private or commercial use, will have to be insured against natural disasters, either when a policy starts or when it is renewed.
- Abolition of stamp duty on insurance transactions.