Cost of insurance claims from floods expected to reach £1.5bn

01/07/07

The Association of British Insurers (ABI) estimates that 27,500 homes and 7,000 businesses have been hit by the recent flash floods across the UK, with the cost of insurance claims expected to reach £1.5 billion. 8,600 claims for flood damage were made on the first day alone as torrential downpours hit many parts of the country.

Four people are known to have died during the flooding - two in Sheffield, including a teenage boy, a man in Hull and a driver in Worcestershire. Thousands of people were forced to leave their homes in the worst hit areas in Lincolnshire, South Yorkshire, Nottinghamshire and Shropshire.

To help those hit by the severe flooding, the Association of British Insurers (ABI) has issued the following advice:

Contact your insurer as soon as possible. Most will offer a 24-hour helpline service to arrange for repairs to be carried out

If necessary, arrange for temporary repairs to be made to stop any damage getting worse and keep any receipts

Most home insurance policies will cover the cost of alternative accommodation if the damage is so bad that you need to move out for repairs;

Do not rush to redecorate as it may take a few weeks for the building to properly dry out;

Where there has been flooding, disinfect floors and furnishings. Where you are able to leave doors, windows and cupboards open to allow air to circulate. If possible, keep rooms heated.

Do not use electricity or water supplies until the all clear is given;

Check your car insurance. Most comprehensive cover will allow drivers to claim against damage to vehicles caused by flooding.

Stephen Haddrill, Director General said
“Insurers are working as hard as possible to reach customers and to visit properties early. But these events are so widespread that insurers are redeploying staff to affected areas, increasing staffing levels in call centres and undertaking visits to community centres. However, even emergency procedures cannot deliver our normal standards of service. We are doing all we can to help families, elderly customers and those with health difficulties first. We hope that other people can bear with us as we work through the backlog. We will reach everyone as soon as we can.

”We are keeping the Government informed of the situation and requesting meetings with the relevant members of the new Cabinet.”