Economy
ECB: Lower catastrophe insurance coverage could spread to the banking sector
The European Central Bank warns that less than a quarter of natural disaster losses in the EU are currently covered by insurance. The ECB and EIOPA propose creating a public-private reinsurance mechanism and a European public fund to share risks and improve climate-related financial protection.
Why it matters
While this is a long-term institutional proposal, it signals that residents may eventually see changes to property insurance requirements or costs as the EU seeks to mitigate the financial impact of climate-related disasters.ObservadorRead original ↗
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