Insurance sector pulls together to help those at risk of flood
23rd February 2022
The British Insurance Brokers’ Association (BIBA), the Association of British Insurers (ABI) and Flood Re have collaborated to help more householders who are struggling to obtain flood cover access the insurance they need. They today announced the launch of a new directory of specialist flood insurance providers that people may use to find cover.
The Independent Review of Flood Insurance in Doncaster, published in November 2020, recommended a means of providing easier access to suitable and affordable insurance products to help those living in flood-prone areas. Following the report and working closely with Defra, BIBA, the ABI and Flood Re began a project to use the tried and tested practice of signposting to enable better access to insurance.
Graeme Trudgill, BIBA’s Executive Director said: “People that have been flooded know all too well how important it is to have flood insurance that can help reinstate their home and contents. We were delighted that the review gave the impetus to work towards a solution to help more people and it was key that insurance brokers be involved. The launch today of the Flood Insurance Directory is excellent news for consumers”.
The new Directory lists specialist firms that are well placed to find insurance solutions for households struggling to obtain flood cover and can be found on the BIBA website.
Rebecca Pow MP, Flood Minister commented: “I welcome the collaborative work BIBA has taken forward with industry following the Independent Review of Flood Insurance in Doncaster. This new joint-industry Flood Insurance Directory will play a key role in helping increase accessibility of flood insurance for properties at flood risk”.
To support the use of the Flood Insurance Directory, leading BIBA and ABI members have put in place a voluntary Signposting Agreement whereby firms will signpost to the Directory if a consumer is offered a household policy with a flood exclusion or a consumer is not offered a household policy and flood risk is the major reason cover is declined. Firms will seek to implement this agreement from 1 September 2022.
James Dalton, Director, General Insurance Policy, Association of British Insurers, added: “This is a great initiative to ensure that those living in areas of higher flood risk are able to access flood cover for their homes. The ABI and BIBA have gone one step further with this Signposting Agreement which will help those both within scope, and out of scope, of Flood Re to be directed to specialist providers for their needs”.
There are currently 18 insurers and brokers listed on the Directory which have passed the agreed eligibility criteria and others are invited to join by completing the application form or emailing Jordan Kirby, BIBA’s Find Insurance Manager at [email protected]
Dermot Kehoe, Director of Communications and Transition, Flood Re, said: “The new Flood Insurance Directory is a great initiative to help householders shop around for flood insurance. It means that people will be able to easily see if their property is eligible for the Flood Re scheme and be directed to companies who can help them to find the right insurance.”
The initiative has been welcomed by many participants, Government and consumer groups.
Paul Cobbing, Chief Executive of the National Flood Forum added: “People at high risk of flooding may spend huge amounts of effort each year trying to get residential property insurance. By putting them in contact with specialist brokers and insurers, this initiative will help reduce the time and stress involved.”
Trudgill concluded: “We have driven forward signposting as a solution for almost 10 years now and I am immensely proud to see the sector working together to launch this service built entirely for the benefit of consumers. I call on the whole industry to back this.”
Consumers can search for flood insurance at www.biba.org.uk/Flood-insurance-directory
-ENDS-
Notes to editors
The key recommendations for the insurance sector from the Independent Review of Flood Insurance in Doncaster that informed this Guidance and Agreement can be viewed at here
For further information please contact BIBA’s press office
Pam Quinn
BIBA Head of Communications
020 7397 0223
[email protected]
Leighann Forsyth
BIBA Deputy Head of Communications
020 7397 0224
[email protected]
Malcolm Tarling
ABI
020 7216 7410
07776 147667
[email protected]
Kenny Ferguson
Flood Re
075 8560 7492
[email protected]
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About the British Insurance Brokers’ Association
The British Insurance Brokers’ Association (BIBA) is the UK’s leading general insurance intermediary organisation representing the interests of insurance brokers, intermediaries and their customers.
BIBA membership includes around 1800 regulated firms, employing more than 100,000 staff. General insurance brokers contribute 1% of GDP to the UK economy; they arrange 67% of all general insurance with a premium totalling £65.1bn and 81% of all commercial insurance business. Insurance brokers put their customers’ interests first, providing advice, access to suitable insurance protection and risk management.
BIBA receives hundreds of thousands of enquiries per year to its Find Insurance Services, online and via the telephone, which are directed to insurance broking firms.
BIBA is the voice of the sector advising members, Government, regulators, consumer bodies and other stakeholders on key insurance issues.
About the Association of British Insurers
The Association of British Insurers is the voice of the UK’s world leading insurance and long-term savings industry. A productive, inclusive and thriving sector, we are an industry that provides peace of mind to households and businesses across the UK and powers the growth of local and regional economies by enabling trade, risk taking, investment and innovation.
About Flood Re
Flood Re exists to promote the affordability and availability of flood insurance for homes across the UK. Flood Re’s operation promotes a competitive insurance market that customers can take advantage of. Flood Re does not set consumer prices – this remains a decision for insurers to make.
Insurers can place the flood risk element of domestic property insurance with Flood Re at a premium linked to property Council Tax bands. Flood Re sits in the background, with the purchase of the policy and the process of making a claim being unchanged.
The scheme launched on 4 April 2016 as an independent body that is privately owned and operated, whilst also being publicly accountable. Insurers use Flood Re to benefit their customers.
Flood Re has a rating of A “stable” outlook by Standard and Poor’s, one of the world’s leading independent credit ratings agencies. Flood Re is regulated by the Prudential Regulation Authority and the Financial Conduct Authority (firm reference number: 706046).
