France is seeking to pay for damages from the riots on October 17 and 18, estimated at more than €1 billion. At least 3,000 shops were damaged or looted, and nearly 2,400 people were arrested in the first weekend of violence. A fire also caused severe damage to the historic town hall in Limoges.
The final cost of the damage has not yet been determined. Alexandre Bompard, president of the French Federation of Retailers, estimated the sector's losses at several hundred million euros, before the government's tally of affected businesses reached 3,000. France Assureurs said insurers were mobilised but did not yet have a general estimate of the damage.
Previous riots have shown the scale of the potential bill. In the violence in France in June and July 2023, insurers paid out 793 million euros for around 16,400 claims. The French Senate subsequently estimated the total material damage at nearly 1 billion euros, as some of the losses were not reported or were not fully covered by policies.
Senate approves stricter rules
Against this backdrop, the Senate passed a bill by 229 votes to 105 that aims to shift financial responsibility to participants in violent groups, rather than leaving it entirely to the state and insurers. The text is not yet law and is yet to be considered by the National Assembly, where there is no single parliamentary majority.
The bill stipulates that people who knowingly join a group preparing violence could be sued for up to 10,000 euros for damages caused by other participants. Similar liability could also be applied to individuals who remain in a violent gathering after the police have ordered a dispersal.
In the event of a final court ruling, the authorities will be able to seek claims for housing benefits, family allowances, the RSA minimum income and assistance for the start of the school year. French law already provides for parental liability for damage caused by children under 18, but the new text expands the possibilities for collecting awarded amounts.
Insurers take the first blow
The affected shops and buildings will be compensated according to the terms of the contracts concluded. Most commercial policies include coverage for riots, fire, theft and vandalism, but lost revenue is only reimbursed if there is an additional business interruption guarantee.
The government has extended the deadline for submitting claims to 30 days, up from five days for some contracts. For cars, compensation is due if there is fire or "all risks" coverage, while mandatory third-party insurance does not automatically cover damage to the owner's car.
The bill stipulates that the state can recover from the guilty parties after compensating the victims. Amnesty International France has warned that withholding benefits "could have catastrophic consequences for the poorest", said Nathalie Godard. Thus, the dispute in France is no longer just about who will pay for the repair of the destroyed shops, but also how far the financial responsibility for participating in a violent gathering can go.
Sources: apnews.com, euronews.com, senat.fr