2 Jul

New agreement announced to protect flood-affected homeowners

New agreement announced to protect flood-affected homeowners

People living in homes which are affected by floods have been assured that they will be able to get insurance policies to protect their belongings, after an agreement was reached.

Many insurance firms want to steer clear of the risk these areas bring, and an agreement that obliged them to sell policies to such homeowners had come to an end this year, sparking fears that it would not be renewed.

However, the Association of British Insurers (ABI) has been negotiating with companies, and reports that an agreement has now been achieved.

The new deal, which replaces the Statement Of Principles, will see policies capped, with premiums not allowed to exceed certain levels, while prices will be calculated based on what tax band a home falls under.

Environment secretary Owen Paterson said: "There are still areas to work through but this announcement means that people no longer need to live in fear of being uninsurable and that those at most risk can get protection, now and in the future."ADNFCR-1222-ID-801607083-ADNFCR

Cookies We use cookies to ensure that we give you the best experience on our website. To find out more about our cookies policy, see our cookies policy here or in the footer.