Fire insurance premiums soar

The amount of fire insurance premiums is linked to the ABEX index. This index follows the evolution of the construction costs of a house and is calculated on the basis of the wages of the construction workers and the prices of the materials. Recently, the cost of construction has risen sharply due to the health crisis and the war in Ukraine, which is reflected in the index.

According to the latest calculations, the ABEX index jumped almost 9% compared to the same period last year.

“Normally, premiums increase less than the index,” explains Peter Wiels, spokesman for Assuralia, the professional union of insurance companies. “The amount depends on what’s left in the home insurance policy.” In addition to the increase in the ABEX index, there is the fact that some insurers have increased their rates. “It is linked to the natural disasters of recent years,” continues Mr. Wiels. “There have been many more claims. But insurance companies have to keep the balance, it’s still commercial businesses.”

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