2023-07-03 18:07:57
► What will be the amount of damage from the urban violence of the last few days?
It is difficult for the moment to precisely quantify the costs of the damage following the urban violence following the death of young Nahel in Nanterre on June 21. Neither the Ministry of the Economy nor the insurers venture to advance an amount. Same caution on the side of the Association of Mayors of France (AMF). “We are in the process of taking the censusindicates Alain Chrétien, mayor of Vesoul and member of the office. The damage amounts to several tens of millions of euros. » In Marseille alone, insurers estimate them at around 100 million euros for the 400 businesses affected.
Observers agree on one point: the damage would be greater than in 2005. France Assureurs then estimated the damage at 200 million euros at the time after the 27 days of riots following the death of Zyed Benna and Bouna Traore. The demonstrations of yellow vests had caused 249 million euros in damage in 2018 and 2019, for 13,000 claims, according to the professional federation.
► What do insurance companies cover?
The owners of some 5,0000 damaged vehicles will be compensated if their contract provides for the optional “fire” guarantee or that concerning “damage from all accidents”, in the event of damage. The amount will depend on the guarantees of the contract.
On the other hand, the damage will not be covered if the insurance only covers civil liability. Victims may nevertheless apply to the Crime Victims Compensation Commission (Civi), if their annual resources do not exceed €27,606, to which are added increases for dependents.
With regard to damaged, looted or burned buildings and businesses, the damage is covered by the “riots and popular movements” guarantee, included in ” almost all “ insurance contracts covering businesses and buildings, according to France Assureurs.
On the other hand, operating losses linked to the closure of establishments are covered by a special optional guarantee – according to France Assureurs, only one in two businesses has subscribed to it.
► Will the insurance companies make exceptional gestures?
To be compensated, the insured must file a complaint before declaring their damage to their insurer. In normal times, contracts generally provide for a period of five days from knowledge of the claim.
But faced with the extent of the damage, Bercy asked insurers for exceptional measures: extend the reporting deadlines for traders “in shock”; simplify the processing of procedures; expedite responses regarding compensation; reduce deductibles as much as possible… But this last point was still far from being settled this Monday, July 3 in the afternoon, when the France Assureurs federation held a new ” crisis meeting. »
The Axa group, for its part, has undertaken to ensure that its policyholders all benefit from the compensation conditions provided for under the “riot guarantee” in the event of glass breakage, even if they have not subscribed to it.
► Are there special conditions for public buildings?
Municipalities are not subject to the “property damage” insurance obligation – except when they build residential buildings. and may choose to self-insure at their own risk. In general, “Small towns often take out a multi-risk “pack” to have peace of mind. Large municipalities will more easily choose self-insurance, which has historically been very present, by playing on the amount of deductibles”, noted The Argus of insurance, the specialist journal.
The insurer specializing in local authorities, elected officials and local agents, and associations, Smacl, has already announced that it will extend the deadline for declaring claims until July 31. In addition, advances on compensation may be made, “depending on the nature of the damage and the circumstances”.
For the mayor of Vesoul, Alain Chrétien, the urgency will be to quickly restore the degraded equipment: town halls, schools, social centers… In addition to the reduction in deductibles requested by Bercy, the amount of which has not yet been able to to be esteemed, the chosen one wishes “advances to finance the work and launch consultations with the companies that will participate in the reconstruction”as well as “derogations to simplify public procurement rulesto launch the necessary consultations as soon as possible in order to regain peace of mind. »
► What impact on the economy?
The question of the cost to the economy is recurrent in a country accustomed to long-term strikes which was, more recently, the scene of yellow vests, but also of previous riots, in 2005 in particular. Everything will depend on the duration and intensity of the violence.
At this stage, the repercussions are at a very microeconomic level: destruction of shops, stocks in warehouses, but also of public transport and public buildings… entailing expenses for “reconstruction” and for insurance. In the areas concerned, trade is in the front line as well as tourism, as the images that circulate can discourage potential visitors.
“But this sector, which weighs around 8% of French GDP, should not suffer greatly and durably from this crisis”, assesses Philippe Waechter, at Ostrum Asset Management. The 2005 riots “had no significant impact on tourism”confirms Julien Pouget, at Insee.
It exists “an indirect cost that could be read later, in the decline in direct investment by foreigners in France, but this remains diffuse and very difficult to measure”, analyzes for his part Christopher Dembik, at Saxo Bank. The movement of yellow vests had caused a loss of 0.1 point of GDP in the last quarter of 2018, according to INSEE, while the attacks of 2015 (Bataclan) and 2016 (Nice) had caused a loss of 0.2 point of GDP on the year 2016. ” Globally, concludes Julien Pouget at Inseethese events have no significant effect at this stage at the macroeconomic level, even if it is not likely to boost the morale of households and businesses”.
—–
Employers call for support measures
The main French employers’ organizations called on the government on Monday July 3 to put in place support measures for traders and entrepreneurs affected by six nights of violence following the death of Nahel.
The Confederation of SMEs (CPME) has requested “immediate and massive support measures” for traders and tobacconists, in particular, who do not have access to partial unemployment. She also pleads for the establishment “from an emergency fund” as well as a delay in the repayment of state-guaranteed loans (PGE) granted during the health crisis. The Ministry of the Economy has indicated that a deferral of payment of social and tax charges for companies in difficulty will be possible.
Olivia Grégoire, Minister Delegate responsible in particular for SMEs and trade, plans to postpone the end date of the sales, scheduled for July 25. “The sales started very well, tourism is doing very well. We have so many chances, so many assets in this country, we must preserve them,” she pointed out.
#Urban #violence #headache #insurers