Austria
Belgium
Denmark
Finland
France
Germany
Greece
Iceland
Ireland
Netherlands
Norway
Poland
Portugal
Spain
Sweden
Switzerland
Turkey
United Kingdom
Australia
Hong Kong
India
Indonesia
Japan
Malaysia
New Zealand
Philippines
Singapore
Thailand
Brazil
Chile
Colombia
Mexico
Peru
Bahrain
Israel
Morocco
UAE
Oman
Tanzania
Italy is implementing a mandatory regime to cover natural disasters: What do you need to know?
Published
Read time
From March 31, 2025, all companies with a legal entity or a permanent establishment in Italy (excluding the agricultural sector) must take out insurance covering damages caused by natural events.
This system, inspired by the French model, aims to guarantee financial protection adapted to climatic and geological risks in Italy.
Mandatory compliance within 90 days
Companies will have to adapt their insurance contracts in the 90 days Following the publication of the implementing decree. For existing policies, the adjustment will take place at the first due date or upon renewal of the contract.
Following the publication of the implementing decree. For existing policies, the adjustment will take place at the first due date or upon renewal of the contract.
What assets need to be insured?
The lands
The buildings
The machines
The industrial facilities
The equipment
Regarding franchises:
For capital amounts below 30 million euros, they cannot exceed 15% of compensable damages.
Beyond this threshold, they will be defined freely between insurers and insured.
What risks will be covered?
The insurance policies taken out must cover the damages Caused by:
- The floods Overflow of watercourses, natural or artificial basins
- Earthquakes
- Landslides including falling rocks and stones
A notable point: damages to the land will be covered, whereas they are generally excluded from traditional insurance policies.
A necessary legal obligation
It is to address the increasing risks of climate and geological disasters that Italy has decided to implement this mandatory natural disaster coverage scheme for businesses. This reform, included in the 2024 budget law (Law No. 213 of December 30, 2023), aims to strengthen the protection of businesses and improve the economic resilience of the country.
This mandatory regime marks a turning point in risk management in Italy. It imposes a new financial constraint on companies, but also strengthens preparation for natural disasters.