Tag Archives: Flood Insurance

Over £1 Billion Per Annum Saved By UK Inland Flood Defences

Some interesting research has been carried out relating to the amount that is estimated is being saved in flood damage here in the UK due to the inland flood defences that have been put in place over the years.  The research was carried out by Risk Management Solutions (RMS) on behalf of Flood Re.

The research took into account many thousands of weather event simulations so an awful lot of work has obviously gone into producing the information. The research took into account the situation both without and with flood defences.

You may be surprised at just how much flood damage could be caused inland such as due to rivers breaking their banks. Apparently, it is estimated that with flood defences in place the cost of water damage could amount to around £0.7 billion. However, without flood defences in-situ it is estimated that the cost of damage caused by water could be in the region of £1.8 billion.

That is a huge potential saving of around £1.1 billion as a result of having inland flood defences in place.

An example of the benefit of having flood defences in place can be found in Bewdley, Worcestershire. This small, picturesque Georgian town has the River Severn running through it. For many years, on occasions, the river burst its banks and a significant number of homes and businesses running along the side of the river were flooded causing a great deal of flood damage to buildings and their contents as well as much heartache for the owners of those properties. That was until a few years ago when flood barrier defences were strategically put in place along the side of the river. Since then, there has not been a significant problem with flooding in that location.

Owners of properties within flood risk areas of the UK are likely to be charged more for their buildings cover so it may be a good idea to shop around. In that respect, why not get in touch with us here at AIB Insurance on 02380 268 351 and discuss your requirements with an experienced member of our team who will do all that he or she can to help source suitable, competitive, quality home insurance to cover both your buildings and any contents.

Flood Re Confirms Authorisation

Flood REWe are delighted to confirm the Flood Re scheme has received authorisation by both the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA) from 1 April 2016 and AIB have been signed off as competent, ready to go from the 6th April 2016.

As such, we will go live with the scheme with effect from 6th April 2016 with Flood Re expecting up to 350,000 households to benefit from the government led initiative.

Earlier this month, Flood Re CEO Brendan McCafferty told members of the All Party Parliamentary Group for Insurance and Financial Services that the scheme had two issues to solve before it would be authorised by the PRA.

McCafferty commented: “I am delighted that we now have authorisation from the regulators. The Flood Re team is continuing to work hard with insurers ahead of launch.

Flood RE“From 4 April, Flood Re will be live and ready to accept policies. A list of insurers that will be using the scheme will be available on the Flood Re website from the evening of Friday 1 April.”

McCafferty has repeatedly urged brokers to get ready for the scheme and AIB have invested time and money to make sure we are well positioned to provide the cover.

Nigel Gould of AIB said, “We were aware some insurers were making the Flood Re proposition available through their direct channels first, which would have put us on the back foot. As such, we have invested heavily and believe we are perfectly placed to provide our clients the most suitable options and offerings if they live in a flood risk area.

Flood Re is a new way to help people who live in flood risk areas get affordable home insurance. It launches on April 4th 2016. It is not a home insurer itself – instead it works behind the scenes with existing insurance companies.

Flood Re helps insurers offer more affordable flood insurance to those in areas at risk of flooding. It will mean people can shop around more easily to find policies with more affordable premiums and excesses. The scheme will develop over time so people should find they have even more choice in the future.

Call us now on 02380 268351 or click here: https://www.aib-insurance.co.uk/news/aib-launch-flood-re-scheme