Budget, insurance companies to advance €1.3 billion in 2026 with 85% upfront payment

Rome, Dec. 16 (LaPresse) – An increased revenue of €1.3 billion through an advance payment mechanism by insurance companies is planned. This is provided for in the government’s maxi-amendment covering the changes to the budget. The amendment modifies the Private Insurance Code by introducing a mechanism requiring, by November 16 each year, an advance payment equal to 85% of the contribution on insurance premiums for vehicles and boats. The technical report attached to the amendment specifies that the advance paid in a given year can be deducted, starting from the following February, from the payments to be made in the next fiscal year. An additional revenue of about €1.3 billion is estimated for 2026 alone, since the payments already provided under current legislation will be concentrated, in addition to the advance required by the new rule. From 2027, the new mechanism would be fully operational without generating additional revenue.