insurers promise that their rates will not increase faster than prices

Torn between rising claims and the decline in the purchasing power of their customers, French insurers promised on Tuesday, September 20, after a meeting with the Minister of the Economy, Bruno Le Maire, to contain the average increase in their prices to a level "below" inflation for 2022 and 2023.

“I think we have reached the best possible agreement in a situation which is very tense for the insurance world”declared Mr. Le Maire during a press conference, at the end of a working meeting with the heads of the insurance and mutual insurance sectors.

Fight for purchasing power

“We are experiencing an exceptional year in terms of climate claims”with already 5.2 billion euros recorded for the January-August period against 3.5 billion euros per year on average since 2017, but "we share the minister's ambition which is to help fight for purchasing power"said Florence Lustman, the president of France Assureurs, the federation of the sector. Inflation reached 5.9% year on year in August.

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Concretely, the insurers have undertaken to ensure that the inflation index for the cost of insurance, calculated by INSEE, remains lower than the inflation index for 2022 and 2023, which does not exclude that certain contracts for certain customers are growing faster, in particular "to take into account the behavior of each individual"said the Mayor.

The sector has also promised the delivery of a car check of 100 euros for unemployed people under 25 years of age. others “individual commitments” from companies, aimed at the most vulnerable audiences, should follow “in the days and weeks to come”also said Lustman.

Discussions that should lead to the abolition of the green sticker in car insurance or greater use of reused parts for repairs, two levers identified to reduce costs for insurers, will also continue.

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The World with AFP

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