Tunisia mulls mandatory Nat CAT coverage

Tunisia mulls mandatory Nat CAT coverage

The Tunisian Federation of Insurance Companies (FTUSA) has announced the drafting of a new bill that would make natural catastrophe insurance mandatory in the country. The initiative has been on the table since last year; FTUSA Executive Director Kamel Chibani, quoted by the Maghrebin Economist, said that while such coverage is already mandatory in countries like Algeria and Morocco, it remains optional in Tunisia.

The country is seeing increasing numbers of major floods, with much attendant property damage and loss of life. These floods are starting to cause damage in areas that rarely experience such events, and it has been pointed out that a combination of poorly regulated construction on unsuitable sites, along with a lack of coverage, is contributing towards a much more dangerous overall landscape.

Unfortunately, it is not just flooding that is causing trouble in Tunisia; the country has also been suffering from earthquakes, landslides and forest fires.