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Geothermal project development entails a number of risks, the most significant of which is the geological risk. The introduction of a risk mitigation scheme (RMS) might enable project developers to shift some of the geological risk to public or private entities. Keeping the above in mind, the objective of this study is to examine the development of an effective and financially feasible geothermal risk mitigation scheme in Greece, i.e., a country with no such scheme available. In this respect, the existing status of the geothermal sector in the country is presented, followed by an evaluation of the financial sustainability of a potential RMS, taking into account different insurance premiums, risk coverages, and project success rates. The results indicate that alternative insurance premium, risk coverage, and success rate requirements would result in different financial preconditions for the foundation either of a public or a private fund. Keeping in mind that in most examined scenarios the initial RMS capital is expended before the end of the ending of the scheme, it is suggested that such a plan can only be initiated by the public sector, which is typical of countries with little-developed geothermal markets.