Cost of French riots reaches €650 million, say insurers
France's federation for insurance providers on Tuesday estimated that the cost of riots following the death of Nahel M - in which cars were torched, buildings set alight and shops looted - to be at least €650 million.
According to La fédération professionnelle des assureurs, the cost of riots in response to the police killing of 17-year-old Nahel M has now risen to an estimated €650 million, with the vast majority of costs - 90 percent - represented by the 3,900 businesses and local authorities affected.
The remaining 10 percent of costs is made up of vandalism to private vehicles - mostly cars set alight.
Of the claims related to property, 55 percent were for businesses and 35 percent were local government buildings.
The rioters targeted many state-owned buildings such as mairies, police stations and schools, as well as burning buses and trams.
A previous estimation offered by the insurance organisation last week was €280 million, but as of Tuesday, France Assureurs said that there had been a total of 11,300 claims made.
Last week, France's ministry of economy released details of which businesses had been targeted including 436 tabacs - 75 percent were looted and 10 percent totally destroyed. As for banks, 370 were damaged.
An additional 200 food shops and grocery stores were affected, with 30 of them set on fire. A lesser number of sports stores (60) were looted and vandalised, as well as over a dozen fast-food outlets, approximately 20 gyms and about 12 independent businesses.
In comparison, the 2005 riots - which occurred after deaths of two teenagers who were electrocuted in an EDF transformer substation while trying to escape police - lasted longer than those in 2023, going on for three weeks. However, they resulted in less total damage, with the cost adding up to €204 million.
The destruction in 2005 saw a similar amount of claims - approximately 10,000 - but the damage was mostly related to private vehicles, which accounted for at least 80 percent of the claims according to BFMTV.
Le Parisien reported that this is part of the reason the cost for insurance companies would have been lower in 2005, as most of the vehicles damaged were already insured for all risks or had specific fire coverage.
France's minister of economy, Bruno Le Maire, requested that insurance providers extend deadlines and reduce deductibles when possible, particularly for small businesses affected.
In response, several insurers have extended claims deadlines between five to 30 days.
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According to La fédération professionnelle des assureurs, the cost of riots in response to the police killing of 17-year-old Nahel M has now risen to an estimated €650 million, with the vast majority of costs - 90 percent - represented by the 3,900 businesses and local authorities affected.
The remaining 10 percent of costs is made up of vandalism to private vehicles - mostly cars set alight.
Of the claims related to property, 55 percent were for businesses and 35 percent were local government buildings.
The rioters targeted many state-owned buildings such as mairies, police stations and schools, as well as burning buses and trams.
A previous estimation offered by the insurance organisation last week was €280 million, but as of Tuesday, France Assureurs said that there had been a total of 11,300 claims made.
Last week, France's ministry of economy released details of which businesses had been targeted including 436 tabacs - 75 percent were looted and 10 percent totally destroyed. As for banks, 370 were damaged.
An additional 200 food shops and grocery stores were affected, with 30 of them set on fire. A lesser number of sports stores (60) were looted and vandalised, as well as over a dozen fast-food outlets, approximately 20 gyms and about 12 independent businesses.
In comparison, the 2005 riots - which occurred after deaths of two teenagers who were electrocuted in an EDF transformer substation while trying to escape police - lasted longer than those in 2023, going on for three weeks. However, they resulted in less total damage, with the cost adding up to €204 million.
The destruction in 2005 saw a similar amount of claims - approximately 10,000 - but the damage was mostly related to private vehicles, which accounted for at least 80 percent of the claims according to BFMTV.
Le Parisien reported that this is part of the reason the cost for insurance companies would have been lower in 2005, as most of the vehicles damaged were already insured for all risks or had specific fire coverage.
France's minister of economy, Bruno Le Maire, requested that insurance providers extend deadlines and reduce deductibles when possible, particularly for small businesses affected.
In response, several insurers have extended claims deadlines between five to 30 days.
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