The president of the French Insurance Federation (FFA) once again defended the sector’s inability to reimburse companies for operating losses linked to the coronavirus epidemic, now estimated at 60 billion euros, but said that it is doing its part to help SMEs in particular.
“In France, operating losses linked to the pandemic amount to almost 60 billion, that is to say more than the capital of non-life insurers,” Florence Lustman told Le Figaro.
For the actors of the sector, “to compensate the operating losses linked to the pandemic would amount to putting the insurance sector ashore. No one has an interest in this happening. We cannot jeopardize the money that the French have entrusted to us, it is largely their savings, “she argues.
“We must understand the limits of our business. In no country in the world do business operating losses that are not the result of damage, such as a fire, are not covered,” says the president of the FFA, all by conceding to understand the “distress” of small businesses.
200 million euros to the National Solidarity Fund
It also indicates that the sector is working “on measures to support the economy”, announcing in particular a project to “invest more than 1 billion euros in SMEs and mid-caps, especially those in the health sector, who has desperate needs. ”
“The Caisse des Dépôts et Consignations will provide general coordination. To go as quickly as possible, we will reopen existing funds. And it is possible that we will launch new ones,” she said.
Insurers had already committed to pay 200 million euros to the National Solidarity Fund for small businesses and the self-employed, whose creation is part of the assistance measures deployed by the government.
Mrs Lustman, however, rules out the possibility of a general agreement to reimburse part of the auto premiums in view of the fall in usage during the confinement period: “Not all insurance companies will be able to return the premium money auto because they will face an increase in claims in other branches. “
However, she assures that each member of the FFA will, “according to his means” offer “premium reductions and extended guarantees”. Measures that can represent “several hundred million euros”.
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