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Home insurance costs in France have risen by between 2% and 3% compared to this time last year.

Weather phenomena is having an effect on insurance costs for property owners (including landlords), as floods, droughts, and hailstorms all caused severe damage across France in the previous year.

The report by insurance comparison group le comparateur assurance however states that more competition in the insurance market – particularly from online or ‘neo’-insurers – is helping to limit increases.

Homeowners pay significantly more

Average home insurance costs if renting a midsize (40m² to 69m²) flat in France is now €135 per year. 

A homeowner of a 110m² or larger sized house pays an average of €409. 

Together with the larger surface area, homeowners tend to pay more than tenants as they must sign up to more comprehensive policies.

Tenants, in most cases, only sign up to the minimum legally-required coverage for the accommodation they occupy and not the entire building.

However, costs can drop considerably for smaller houses, reaching around €300 for those smaller than 109m². 

The reduction is less pronounced for tenants who see coverage for properties sized less than 39 m² reduce to around €105 per year. 

Location also a major factor 

Alongside size and ownership type, location is another factor. 

It is not only homes in major cities that see increased costs – partially due to higher property prices – but areas with increased burglary rates.

The risk of natural disasters, including catastrophe naturelle and storms are also a factor. 

Claims for weather or climate-based damage are the cause of 35% of all home insurance claims in France.

One of the more expensive locations for insurance is Lyon (Auvergne-Rhône-Alpes) with an average of €141 per year – note here that most properties within the city are flats and apartments and not larger homes. 

In comparison, Nantes (Loire-Atlantique) sees averages of €107 per year. Montpellier (Occitanie) strikes a middle ground of €126 per year. 

In some cases, even being located within the same region as areas with risk factors can increase costs. 

The comparison site highlights the case of Marie, 34, in its report. 

Her 80m² flat in Aix-en-Provence (Bouches-du-Rhône, in the Provence-Alpes-Côte d'Azur region) has an annual home insurance cost of €184, 40% higher than the national average for a similar property. 

The risk of nearby droughts, floods, and forest fires contributes to this higher cost, but so do burglary rates across the region. 

Aix-en-Provence is one of the cities with the highest national burglary rates in France, but Marseille and Nice – also above the average – are located nearby, further pushing up costs. 

Comparison recommended 

The rise of neo-insurers has contributed to a trend among both owners and tenants to compare policies before signing up for one. 

Close to two-thirds of people in France now opt to compare multiple policies before choosing one, as household budgets are squeezed by increased living costs. 

If you have a second-home, specific insurance (as opposed to a standard policy) may be more beneficial for you. 

See more on home insurance in our article here.