German insurers have paid €1.5bn of Bernd claims, says GDV
German insurers have paid out €1.5bn of claims from the devastating floods that hit the country in July, with €400,000 paid to business customers, according to insurance association the GDV.
The GDV estimates that the total insured loss from damage caused by storm Bernd, which swept across large parts of Germany on 13-18 July, will be about €7bn.
General manager of the GDV Jörg Asmussen said German insurers have already paid more than a fifth of this amount, at €1.5bn.
“Of this, a good €1bn went to private households for damage to residential buildings, household items and motor vehicles, and just under €0.5bn to traders,” he explained.
Customers in North Rhine-Westphalia (NRW) have received more than €900m in claims payments, and those in Rhineland-Palatinate about €500m, according to the GDV. The remaining claims were paid in other German states, with Bavaria and Saxony receiving the majority.
The total economic cost of the storm damage will be far higher than the estimated €7bn insured loss, because not all buildings are insured against all natural hazards in Germany.
The GDV pointed out that while almost all residential buildings nationwide are protected against storms and hail, only 46% have protection against other natural hazards such as heavy rain and floods.
“Together with our member companies, we will be presenting ideas by autumn on how the spread of natural hazard insurance can be significantly increased at risk-based prices,” explained Mr Asmussen in August. “It is also important to reach those who, despite the recent flood disaster, do not want to believe that they too can be affected by natural hazards.”
The GDV added: “In addition, everything must be done to prevent damage through protective measures, or at least to significantly reduce its extent.”