People support compulsory insurance policies for flood protection - Commission Introduces Proposal for Worker Radiation Protection Directive on Ionizing Radiation Risks
Approximately 78% of homeowners and 79% of tenants in Germany endorse the proposed mandatory insurance against natural disasters, as per a survey conducted by Verivox. Conducted by the market research institute Innofact, the poll surveyed 2,054 participants aged 18 to 79, with 1,052 homeowners and 1,002 tenants representing the sample.
The majority of respondents welcome the plan proposed by the ruling Union and SPD, though concerns about cost remain. Some homeowners, totaling 15.9%, expressed their inability to afford additional costs, while another 28.5% declined the concept of mandatory insurance due to the potential costs involved.
The federal government's proposal to make insurance mandatory is an attempt to tackle the billions in costs that have accrued due to floods in Germany. Regularly, after major flood disasters, aid programs are implemented, placing a considerable burden on the national and state budgets. A significant factor contributing to these expenses is that only about half of residential buildings in Germany are insured against elemental damages.
The coalition agreement, however, leaves some questions unanswered. It remains undetermined whether all homeowners will be mandated to obtain insurance, or if a loophole will be created for the reluctant. The coalition agreement stipulates, "We will examine whether this model should be provided with an opt-out solution."
Insurance companies, represented by the German Insurance Association (GDV), have marginalized their previous opposition to mandatory insurance, although not unconditionally. Jörg Asmussen, CEO of GDV, stated that "the federal government's acknowledgment of elemental protection in the coalition agreement is an essential signal." However, Asmussen emphasized that insurance protection is not sufficient on its own and requires a comprehensive concept including stricter urban planning.
Building in floodplains remains a controversial issue, with over 300,000 buildings located in endangered areas, according to a study by GDV. Critics argue that municipalities must be held accountable for lax development regulations. Thus far, many politicians have shown reluctance to advocate stricter building planning, as it may discourage homeowners from living near bodies of water when they do not overflow their banks.
The coalition plans have not yet been implemented, with the Federal Ministry of Justice acknowledging that efforts to make mandatory insurance a reality are ongoing, albeit in the early stages. Details regarding the implementation are not yet disclosed.
- Natural Disasters
- Mandatory Insurance
- Flooding
- Federal Government
- Flooding policy
- Coalition Agreement
- SPD
- Verivox
- GDV
- Jörg Asmussen
- Germany
- Elemental Damage
- The federal government's proposal for mandatory insurance against natural disasters, endorsed by a significant percentage of homeowners and tenants in Germany, aims to address the substantial costs accumulated from floods in the country.
- In the coalition agreement, it remains undetermined whether all homeowners will be required to obtain insurance or if an opt-out solution will be considered, leaving some questions unanswered.
- The German Insurance Association (GDV) has softened its stance on mandatory insurance, with CEO Jörg Asmussen acknowledging the federal government's recognition of elemental protection in the coalition agreement, though stressing the need for a comprehensive concept that includes stricter urban planning to prevent flooding.
