Tool
Businesses
Must I insure my business against natural disasters?
Since 1 June 2025, businesses with income above €500,000 must insure against natural disasters. Check in three questions whether it applies to you.
- Since 1 June 2025, every business with gross income over €500,000 in the previous tax year must be insured against forest fire, flood and earthquake.
- The policy covers at least 70% of the value of its assets.
- Without it, the fine is €10,000, and it doubles if the business is not insured within 30 days.
The check in three questions
Which businesses it covers
Law 5116/2024 and the joint ministerial decision that put it in force on 1 June 2025 cover every business with gross income above €500,000 in the previous tax year, whatever its legal form or sector.
What the cover must include
The policy covers damage from forest fire, flood and earthquake, for at least 70% of the value of the assets of the business. It covers:
- Buildings and installations you own
- Equipment and means of production
- Raw materials, goods and stored products
- Lorries and vehicles for business use
The 70% is the legal minimum, not the value you need. With cover below the real value, a claim is paid in proportion.
The exceptions
These are exempt from the duty:
- The state and the bodies of the public sector
- A new business with no published financial statements yet
- Unlicensed buildings that get no state disaster aid
- Ships, trains and aircraft
- Overhead, underground and undersea infrastructure, mines included
- Crops, plant production, fish farms and livestock
A business that cannot find cover asks two different insurers, and after two refusals it is exempt for two years. If it then gets two refusals again, the exemption becomes permanent. Ask for the refusal in writing.
The fine
A business that does not comply pays a fine of €10,000. If it does not insure within 30 days of the notice of the fine, the fine doubles. It also gets no state aid for material damage after a natural disaster.
If you already have a policy
Check that it covers all three perils, that the insured value reaches 70% of the assets, and that it holds every kind of asset: buildings, equipment, goods and business vehicles. The comparison for a business with earthquake cover.
How we work it out
The check follows law 5116/2024 and the joint ministerial decision that put it in force. A body of the public sector is exempt. Otherwise, a business with income up to €500,000 is not bound, a new one with no published accounts is not bound yet, and every other one is.
The rules are those the Hellenic Association of Insurance Companies and the ministry published, with the sources below. Check the income of the previous year with your accountant.
Sources
- Hellenic Association of Insurance Companies: what businesses need to know about compulsory natural-disaster cover, 14 April 2025
- Hellenic Federation of Enterprises (ΣΕΒ): natural-disaster cover compulsory for businesses from 1 June 2025, 2 June 2025
- Chios Chamber: the joint ministerial decision and its exceptions, 2025
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Frequently asked questions
What people usually ask
01 Which businesses must insure?
Every business with gross income over €500,000 in the previous tax year, whatever its legal form or sector. The public sector and a new business with no published accounts are exempt.
02 Against which risks must it be insured?
For forest fire, flood and earthquake, all three together.
03 For what value must it be insured?
For at least 70% of the value of the assets. It is the floor of the law; with cover under the real value, the payout is cut in proportion.
04 What is the fine?
€10,000, which doubles if the business is not insured within 30 days of the notice of the fine.
05 What if no insurer will cover me?
You ask two different insurers. With two written refusals, the business is exempt for two years, and with two more after that the exemption becomes permanent.