Storms damage to cost €1.4 billion

A RECORD number of insurance claims could push the costs of January storms in south-west France past one billion.

At a meeting of insurers and the government the head of the Groupement des Entreprises Mutuelles d'Assurances Gérard Andreck said a record 400,000 claims had already been made.

He said the speed at which the claims were filed showed that changes made since the storms of 1999 had quickened the process.

The head of the Fédération Française des Sociétés d’Assurances Bernard Spitz said he expected half a million claims in total.

Most insurers have extended the deadline to claim until the end of the month.

Economy minister Christine Lagarde said the claims process would be simplified. The threshold for claims that do not need expert evaluation would be set at €2,000 for individuals and €3,000 for businesses.

Ms Lagarde said that 80% of claims were beneath these thresholds.

While all insurers have agreed to these thresholds, some may raise them higher. They have also agreed to make payouts within three months of the claim.

Photo:Afp/Patrick Bernard