Náttúruhamfaratrygging Íslands (NTI), Iceland’s statutory Natural Catastrophe Insurance body, has issued an updated declaration form and accompanying guidance for foreign insurers, dated 13 July 2026. The updated documents introduce a mandatory policy-type declaration, requiring foreign insurance companies writing fire coverage in Iceland to declare explicitly whether the policy is a stand-alone fire policy or an all-risk or special policy.
CATNAT is not an insurance premium tax, levy or voluntary contribution, but an additional premium payable where fire is covered by the policy. The CATNAT premium obligation remains unchanged: it is a statutory requirement under Icelandic Act No. 55/1992 and Regulation No. 770/2023, applying to all fire-insured buildings and contents located in Iceland.
NTI has confirmed to Sovos that the updated form and guidance apply to premium reporting from the date of issuance. There is no requirement to apply the new form retrospectively to premium reporting already completed or subject to previous NTI instructions.
Regarding payment currency, NTI has clarified that whilst the CATNAT premium is calculated and settled in Icelandic Króna (ISK), payment may be arranged in EUR, provided that the applicable EUR/ISK exchange rate is applied at the time of transfer so that the amount ultimately credited to NTI’s bank account corresponds to the correct premium amount in ISK.
The statutory due date for payment to NTI is the 15th day of the third month following the end of the settlement period; premiums for policies incepting in June, for example, are due by 15 September. No specific deadline is prescribed for the submission of the declaration form; however, insurers should ensure that documentation is submitted sufficiently in advance of the payment due date to allow NTI adequate time to review the submission and issue written approval confirming the binding premium amount, so that payment reaches NTI’s bank account on or before the statutory deadline.
Payment must not be made prior to receipt of NTI’s written approval. Submission of an incorrectly completed form, or failure to submit the required documentation within the prescribed timeframes, may result in the insured property or contents not being covered by NTI against natural catastrophe events, including volcanic eruption, earthquake, landslide, snow-avalanche and flood, even where a premium has been transferred.
