This report examines the expanding natural catastrophe protection gap in Europe, which leaves a significant portion of disaster‑related economic losses uninsured. The authors argue that private reinsurers possess the necessary capital, global diversification, and modeling expertise to absorb these risks more effectively than state‑led initiatives. They caution that government‑backed reinsurance schemes may inadvertently cause market distortions, such as moral hazard or suppressed pricing signals that discourage safety improvements. To enhance societal resilience, the document suggests focusing on increasing insurance take‑up rates and implementing stricter land‑use regulations. Ultimately, the board advocates for risk‑based pricing and open markets to ensure that financial protection remains both sustainable and affordable amidst a changing climate.