Press Release

Floods agreement addresses public concerns

Thursday, July 17 2008

One year since the floods that devastated much of Gloucestershire and the Midlands, a new floods agreement between the ABI (Association of British Insurers) and the Government will ensure that flood insurance remains widely available in the region says the ABI.

The package of measures agreed includes a Government commitment to deliver a long-term floods strategy and tighter controls on new developments.

The agreement comes as an ABI-commissioned survey among last summer’s flood victims in the region shows that:

• Eight out of ten think the flood risk is getting worse.

• Three-quarters think not enough is being done to tackle the flood threat.

• Nine out of ten people say that new homes should not be built in flood risk areas unless there are adequate flood defences.

Nick Starling, the ABI's Director of General Insurance and Health, said, "Last summer's floods highlighted the urgent need for an overhaul in managing the flood risk. Insurers dealt with over 180,000 claims, and paid out £3 billion.

"The Government is now committed to a long-term flood strategy that will lead to a better understanding of the flood risk, with investment to manage it effectively.

"This will ensure that flood insurance, relied upon by thousands of homeowners and businesses in the region, remains widely available."