France insurance premiums and FGTI taxes set to rise

Insurance costs in France are seeing significant upward trends. According to France Assureurs, the average home insurance premium is expected to rise by 7.8% to reach 323 € per year in 2025. For first-category vehicles, the average auto insurance premium is projected to reach 511 € excluding taxes, representing a 6.5% increase.

In addition to general premium hikes, a specific contribution used to fund the Guarantee Fund for Victims of Terrorist Acts and Other Offenses (FGTI) will increase. Starting January 1, 2027, this contribution will rise from 6.50 € to 8.50 € per relevant contract. This targeted increase primarily affects property and automobile insurance policies, serving as a solidarity mechanism to compensate victims of terrorism and certain criminal offenses.