3.2 billion euros in exceptional measures to meet the challenges of COVID-19
In order to give their insurance customers maximum support to deal with the consequences of the health crisis, insurers have taken a series of non-contractual measures totalling 1.75 billion euros, in solidarity with the populations and businesses most at risk.
Half that initiative is dedicated to VSBs, SMEs, craft businesses and retailers. The industry has therefore doubled its contribution to the solidarity fund set up by government to provide help for those businesses, increasing its contribution to 400 million euros. In addition, it has been confirmed that cover will continue until the end of the COVID-19 restrictions, even if premiums are not paid. Lastly, a whole series of measures have been taken for specific sectors (construction, non-food retail, motor repairs and others), either collectively by the industry as a whole or by the insurers most closely involved.
The other half of the initiative is dedicated in particular to insurance for medical staff and those particularly vulnerable to the virus on account of their state of health, and to adapting policies for all insurance customers under lockdown.
Also, as long-term investors, French insurers have given an undertaking to government to support the country's economic recovery after the health crisis. They have set up a global investment programme involving at least 1.5 billion euros, mostly from equity, in particular for ISEs and SMEs and the health sector.
Lastly, working with the Ministry of Economy and Finance, the FFA has now begun work to produce a concrete proposal for an insurance regime covering major public health risks like Covid-19 that will provide better protection in the event of a future health catastrophe.
‘In response to this unprecedented and ongoing crisis, the sector has stepped up and made exceptional efforts to help the most vulnerable businesses and individuals overcome this crisis’, said Florence Lustman, president of the Fédération Française de l’Assurance. ‘We reiterate our willingness to participate in the national effort of solidarity and to plan for the end of the crisis with all means at our disposal. Our first responsibility to our insurance customers is to ensure the continued soundness of our businesses, as the French and European insurance supervisory authorities recently pointed out’.