Flood insurance in danger, says ABI

Posted : 14-02-2008

Consumers may be in danger of losing flood protection as part of their home insurance deals, the Association of British Insurers (ABI) has stated.

The ABI has called for tougher planning controls to be put in place in order to keep the cover widely available for new homes.

Of the three million properties that government intends to see built by 2020, a third could be located on a flood plain.

Speaking at the Architects' Journal conference today, ABI assistant director of property Justin Jacobs explained that the governmental housing plans are in "jeopardy" unless the risk of flooding is reduced.

He stated that when a local authority plans to ignore a flood risk, the government should step in to review the proposals.

"Insurers want to continue to provide flood cover, but poor planning decisions will lead to more homes becoming unsaleable, uninsurable and uninhabitable," he concludes.

Meanwhile, Halifax Home Insurance recently noted that more than 1.5 million British roofs suffered damage as a result of wind and storms over the past 12 months.


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