The Swiss Parliament passed a bill this week which puts in place a mandatory earthquake insurance scheme for the country. Switzerland’s National Council, its lower parliamentary house, approved the bill this month.
Switzerland’s upper parliamentary house had already approved the bill and so all that remains is for the Federal Council, the executive power at national level, to implement this new measure.
The mandatory earthquake insurance bill is supported by the Swiss insurance association, Association Suisse d’Assurances (ASA) and the regional insurance association, Etablissements Cantonaux d’Assurances.
If, as is believed, Switzerland’s federal government implements this new law all property owners, be they companies or individuals, will have to take out earthquake cover.
ICMIF member Swiss Mobiliar commented “the ASA has argued that no further legal changes are needed to implement the new mandatory insurance scheme throughout the country, and that it could be in place quickly once the federal government gives insurers the go-ahead”.