Home owners in the UK whose properties are at risk of flooding who have seen the price of their insurance rise in recent years have been urged to speak out. as reported on Friday, 02 May 2014 by Property Wire the Premier global property news service. They are being warned that government plans could leave them without access to affordable flood cover from next year.
The British Property Federation is asking anyone who has seen their premiums rise, or who is finding it hard to obtain buildings insurance for flood, to fill out a short online questionnaire as it steps up its campaign to ensure that Flood Re, the Government’s new flood insurance scheme, will be available to all home owners. Continue reading Warning to UK home owners at risk of flooding
Flood Re only covers owner-occupied homes built before 2009 that are worth less than £320,000…
The Flood Re 2015 scheme is a public relations disaster waiting to happen for the insurance industry, according to Insurance expert Hiscox chief executive Bronek Masojada.
Continue reading New Home Flood Insurance exclusions
House of Commons Managing Flood Risk
Para 50. Agreement that the Government will “prevent unnecessary building in areas of high flood risk”. Evidence to the Committee’s previous Future Flood Management Legislation inquiry supported this approach—for example, an insurance company urged that “clear attention” be given to curbing construction in areas exposed to high flood risk. A key aim of the PPS 25 (Planning Policy Statement on flooding) was to ensure that local authorities framed policies to locate development in places that “avoid flood risk to people and property where possible”, and which “manage any residual risk, taking account of the impacts of climate change”. Continue reading House of Commons Managing Flood Risk June 2013
Hundreds of thousands of households in flood-prone areas will be guaranteed affordable flood insurance after the government and insurance industry agreed a deal today. (27 July 2013)
After negotiations with the Association of British Insurers (ABI), this new agreement replaces the current ‘Statement of Principles’ that runs out at the end of July and will bring peace of mind to people who will soon need to renew their insurance. Continue reading Defra and Association of British Insurers reach an agreement on flood insurance
Government accused of game of bluff with insurers as thousands of flood-risk properties could soon lose cover reports The Guardian on 31 March 2013. The chairman of a national charity that helps householders affected by floods has accused the government of “playing with people’s lives” as it looks increasingly likely that thousands of homes will be without affordable insurance from July.
Last week environment Secretary Owen Paterson admitted he was disappointed at failing to secure a new agreement over the insurance of homes and businesses at high risk of flooding. The government has been locked in talks with the insurance industry for months over the future of flood cover as the existing agreement – the Statement of Principles – runs out in June 2013. This agreement between the government and the industry obliges insurers to offer flood insurance as part of standard policies at reasonable rates, providing the government invests in flood defences. Continue reading Failure to reach flood insurance deal is ‘playing with people’s lives’
Developers are planning tens of thousands of new homes in areas at high risk of flooding, it can be revealed.
Thousands of homes planned for flood plains; Analysis by The Sunday Telegraph of planning applications that the Environment Agency objected to because of flood risk has revealed developers last year submitted more than 3,000 separate plans to build 27,923 houses in areas prone to flooding. One recently-built estate in Ruthin, north Wales, was left underwater despite residents being given guarantees that their £200,000 homes were safe from all but the worst floods. nearby St Asaph, an elderly woman was found dead in her flooded house after 500 homes were evacuated. Continue reading Thousands of homes planned for flood plains
In August 2012, Professor David Crichton, an expert on ‘Flooding issues’, updated his earlier academic paper stating that England should copy Scotland in flood risk prevention. He calls for planners, developers and architects to be “legally liable when people are flooded” this he says is a way of preventing further high risk flood zone and flood plain development. Continue reading Planners, Developers & Architects should be held legally liable when family homes are flooded !!
Government’s new environment secretary Owen Paterson on Friday 14 September 2012 when speaking to Anna Burdett of The Cumberland News advised that the practice of building homes on land that has flooded in recent years as “idiotic, people should become more aware when buying a house and of the consequences of buying in an unwise location”. Continue reading Building homes on Flood Zones idiotic says Environment Secretary
Thursday, 19 July 2012 a Plea for help as West Cumbrian flood insurance crisis grows as reported by the Times & Star: Some Cockermouth householders can no longer afford to pay for flood insurance. The scale of Cockermouth’s flood insurance crisis can be revealed today as residents continue to struggle with issues more than two-and-a-half years on from the November 2009 floods. Continue reading Plea for help as West Cumbrian flood insurance crisis grows
Careful study needed if Wales is to make good use of floodplains says Simon Haslett, Professor of Physical Geography and Associate Pro Vice-Chancellor of the University of Wales in his article at Wales Online. Certainly for residents of flooded areas it may be the first time in living memory that they have suffered an inundation, but that doesn’t mean that floods have not occurred in these areas in the past. Continue reading Flood may be the first time in living memory
On 15 June 2012 Jan Harris of Finance Markets reported that recent flooding could lead to higher insurance premiums. Floods currently affecting Wales and south east England could be following by a rise in the price of home insurance premiums, according to analysts.
The heavy rainfall could cause some insurance companies to miss their profitability targets, and there is more rain on the way according to the Met Office, with flood warnings in place across the UK. Continue reading Rise in the price of home insurance premiums
13 June 2012 “This is Money” report says “As flooding hits Britain again, homeowners face big bills and a timebomb ticking for future insurance cover. Already some customers are finding they are being quoted huge flood excesses of as much as £10,000 and extremely costly premiums”. Continue reading Homeowners in the highest flood risk properties could lose their insurance
Flood-risk households get closer to insurance guarantee“Comment on article-but will it remove the fear of floods, see statement below by mother and householder Rita Edge of Cleator, West Cumbria“: original article by Lisa Bachelor; guardian.co.uk, Tuesday 8 May 2012 12.33 BST Continue reading Flood insurance improvement but will it remove Cleator Mother’s Fear
Like Ireland and Queensland, England has yet to adopt sustainable flood management practices on any large scale. Indeed land use planning is becoming less regulated and is likely to result in even more inappropriate development in flood hazard areas under the new National Planning Framework: says Professor David Crichton MA(Hons), FCII..Chartered Insurance Practitioner. Continue reading Is it Possible to Have Sustainable Flood Insurance without Sustainable Flood Risk Management?
The framework sets out the Government‟s vision for planning in England, focusing particularly on sustainable development and local decision making.
It is vital that new development is insurable. Property insurance provides customers with the confidence that they are protected should the property be damaged or rendered unusable. Insurance is also a prerequisite for the vast majority of mortgages, and therefore underpins local housing markets: Continue reading Guidance on Insurance and Planning in Flood Risk Areas for Local Planning Authorities in England
Since it’s virtually impossible to sell an uninsurable house, house prices in the worst affected areas would plummet, trapping the vulnerable and those on low incomes in new areas which are likely to emerge as what the Environment Agency calls “deprivation hotspots”. And, in the event of a flood hitting, lives will be utterly destroyed as families and businesses lose everything without the recourse to funds for rebuilding. Continue reading Steve Gilbet MP-02 April 2012-Government must wake up to Flood Insurance
Recently Cumbria CVS completed a research project that established the importance of the work of the voluntary sector in helping Cumbrian communities recover from the November 2009 floods.
It is interesting to note that on page 89 of the document they say: The ‘statement for principles’ ends in 2013. There have been a number of flood summits attended by the Association of British Insurers (ABI), Brokers, Insurance companies, Nation Flood Forum (NFF) and concerned MP’s. “Many areas that have been flooded are now facing increased premiums and vast excesses. Houses cannot be sold as new owners cannot obtain home insurance”.
The Government produced is much discussed bill on planning policy yesterday the 27 March 2012.
Accompanying the formal document is the “Technical Guidance to the National Planning Policy Framework“. This is the ‘cheat sheet’ which directs all users on how to do things!!
It is very interesting to note that following paragraph one (1) the Introduction paragraph which basically says “here is the future planning policy”. Paragraph two (2) immediately starts by saying:
As set out in the National Planning Policy Framework, inappropriate development in areas at risk of flooding should be avoided by directing development away from areas at highest risk, but where development is necessary, making it safe without increasing flood risk elsewhere.
Obviously the government cannot say “do not build on high risk flood zone” because most of the south east and a lot of other areas of this Island of ours is designated as a high risk flood zone. And some people actually wish to live there, rather that the wonderful hilly, undulating landscape with plenty of land not subject to flooding county of Cumbria.
Joseph Rowntree Foundation says: Catastrophic flooding events have become increasingly frequent in the UK and, with climate change, are likely to become even more frequent in the future. Page 13 of this document states: In England roughly 10 per cent of new build is in flood plain. In contrast, in Scotland there has been no new build in flood plain since 1995. The extent of new build in flood plains in England, in particular, (see Table 1) and the absence of regulations on flood resilience in building raise serious problems.
Pitt says in 2007: There should be a presumption against building in high flood risk areas
Government says 2012: Government continues to recognise the importance of preventing unnecessary building in areas of flood risk and that new development that does take place should be safe and not increase flood risk. Continue reading Governments Response to Pitts Review summer 2007 Floods – 2012 Final Report
The UK has suffered the driest 18 months since records and with the south east and east Anglia already officially in a state of drought the Association of British Insurers (ABI) is warning home owners to be aware of the risk of subsidence.
Additionally the government may now be unable to complete the necessary flood infrastructure due to lack of funds which will make it difficult for owners to purchase insurance cover if the government fails to build flood-control infrastructure.. Continue reading Government may now be unable to complete flood infrastructure
Flooding is the biggest environmental threat facing the UK, according to Defra chief Scientist Sir Bob Watson. The risks of flooding are projected in increase significantly across the UK. The landmark Climate Change Risk Assessment, published earlier this year, set out a clear case on the scale of the risk facing the UK from climate change and increasing flood risk. This is not news to the many communities already facing heightened risk from flooding. Full article 08/03/2012
Joseph Rowntree Foundation says on 07 March 2012: Flood insurance changes could bring ‘catastrophic losses’
As early as next year (2013), up to 200,000 homes in the UK could find themselves effectively uninsurable against the risk of flood. Continue reading Catastrophic losses possible says Joseph Rowntree Foundation
BBC News 27 February 2012: Nick Starling, Director of the Association of British Insurers, said members were determined that flood insurance remained as “widely available and competitively priced” as possible but local authorities need to ensure that there is no more foolish housing development in high flood risk areas. Up to 200,000 homes could struggle to get insurance against flooding next year, according to council leaders.The Local Government Association (LGA) wants to replace a soon-to-expire ‘safety net’ covering flood-risk areas. Continue reading Councils MUST Stop Foolish Housing Developments in High Flood Risk Area says Insurers
18 October 2011 Government planning reforms must not lead to unsaleable, uninsurable and uninhabitable properties warns the ABI. Continue reading Say ‘No To’ developments in Flood Risk Areas
The Environment Agency being the British Government body required to control, monitor and advice on all matters affecting ‘Floods’ says : Get the location of new housing right: We need to avoid building homes in places where we will regret doing so, such as in areas at risk of flood. Continue reading Don’t Build on Flood Zone says Environment Agency
Families living in flood-risk areas could be left with uninsurable and unsellable home: The town of Morpeth in Northumberland faced massive flooding in 2008, hitting 950 homes. Alan Bell, chairman of the Morpeth Flood Action Group, says many locals have been unable to sell their homes because they cannot get affordable home insurance. Continue reading Uninsurable, Unmortgageable and Unsellable Homes
Copeland MP Jamie Reed, Labour’s shadow floods minister says, “Cancelled flood defence schemes and changes to flood insurance are causing communities up and down the country to begin to fear for the future. The fear among many is that Government action will lead to whole communities becoming not just uninsurable, but unmortgageable. Continue reading Jamie Reed M.P. fears communities becoming not just uninsurable, but unmortgageable