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Only 16% of Italian companies hold catastrophe insurance, leaving most businesses exposed to seismic and flood losses

Executive summary: IVASS updated its price monitoring for existing catastrophe insurance contracts in Italy, reporting that only 16% of companies were insured against natural damages as of 30 April 2026, with premiums varying by province according to seismic and flood risk. The low insurance penetration leaves a large share of Italian businesses financially exposed to potentially catastrophic losses, which could affect corporate stability and increase pressure on public disaster relief funds.

Who is involved: IVASS (Italian insurance regulator), Italian businesses across sectors, and provincial insurance providers.

Likely next: IVASS may issue guidance or consult with stakeholders in late 2026 to raise uptake, and the government could evaluate mandatory or incentivised catastrophe coverage for SMEs in early 2027.

IVASS’s latest monitoring shows that, as of 30 April 2026, just 16% of Italian firms have purchased policies covering natural‑damage risks, with premiums heavily influenced by local seismic and flood exposure. The low uptake highlights a significant protection gap in the country’s corporate sector, especially given Italy’s high earthquake and inundation risk. Insurers and policymakers may need to consider measures to boost coverage, such as incentives or public‑private reinsurance schemes, to reduce potential systemic losses.

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