Natural disasters: compulsory insurance for medium-sized companies from 1 October
The suspension still remains in force for the largest group of those required to take out insurance: small and micro enterprises, for whom the deadline is 31 December 2025
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Key points
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As of 1 October, the deadline for medium-sized companies to take out a policy against calamity expires. The obligation had been introduced in the 2024 Finance Act with a deadline of 31 December of that year, but a series of extensions had slipped the deadline from time to time. The latest extension mechanism had moved the deadline for large companies to 1 June, for medium-sized companies to 1 October.
The suspension still remains in force for the largest group of those required to take out insurance: small and micro enterprises, for which the deadline is 31 December 2025.
For small and micro enterprises the deadline at the end of the year
.The first two deadlines did not cause much concern. Larger companies were already largely covered against risks caused by catastrophes or natural disasters. In essence, they either had to adapt their coverage to the new rules or, if contracts were already in place, they will do so as soon as the insurance contract expires. A very similar argument applies to medium-sized companies.
For small and micro enterprises, on the other hand, the issue is more complex: within this category there are also all commercial activities, in many cases also professional offices, shops, excluding the agricultural sector.
In most cases, these entities will wait until the last moment to take out a policy: this could expose them to the risk of being offered exorbitant premiums and not having enough time to request different quotes or find a suitable solution on the market. It is also true, however, that agreements have been made between insurance companies and trade associations so that policies can be offered at more accessible conditions through industry conventions.
