Home insurance rates climb as climate change takes its toll

A study by UFC-Que Choisir, the French consumer advocacy group, found that climate-related events are driving up home insurance rates every year.

These phenomena (storms, hail, floods, droughts), cost the French insurance market 5 billion EUR (5.9 billion USD) in 2024, making it the ninth costliest year since the natural disaster compensation scheme was established in 1982.

The increase in premiums is also partly attributable to the revaluation of the additional premium used to finance the natural disaster scheme.

According to UFC-Que Choisir, home insurance rates rose by 7.2% in 2024, and preliminary estimates indicate a further increase of between 8% and 11% in 2025.