The Association of British Insurers have recently made some statements showing the cost of floods and flooding for UK insurance companies and the British public – homeowners, businesses and motorists.
2012 was the second wettest year on record in the UK, thus making it a busy time for flood insurance claims. The Association of British Insurers said that…
around 486,000 claims for damage from homeowners, businesses and motorists were dealt with, equating to 1,330 each day.
Over 1000 claims per day! And the average payout for those claims was just over £18,000 (UK Pounds).
The rundown of claimant types was as follows:
Homeowners / home damage: 411,000 claims
Businesses / business premises: 47,000 claims
Motorists / car damage: 27,000 claims
Overall, the wet weather in 2012 has cost UK insurers £1.2 billion. Phew!
The bad news for those in the UK hoping to keep insurance premiums low is that the agreement between the insurance companies and the UK government to protect householders in high risk areas from rising insurance costs is to end in June 2013.
A director if the Association of British Insurers, Mr. Nick Starling, said:
“Last year highlighted the vital role insurance plays in helping communities recover from our increasingly volatile weather.
“Flooding is the greatest natural threat facing the UK and the risk is rising so political consensus and commitment on investment in flood defences, sensible planning decisions and working with the insurance industry is essential.”