Environment Food and Rural Affairs written question – answered at on 13 November 2001.
To ask the Secretary of State for Environment, Food and Rural Affairs what representations the Government have received on the level of insurance premiums being demanded of homeowners whose property lies in an area classified as a high flood risk; and if she will make a statement.
The Government maintain close links with the insurance industry to help ensure continued availability of affordable flood cover. Together with the flood defence operating authorities, we are reducing the risk of flooding and are communicating this to the industry. However, it must be recognised that insurance companies need to take a commercial decision as to what risk they will cover and on what terms.
The agreement among ABI members is that they will continue to provide flood cover, except in exceptional circumstances, for domestic properties and small businesses which they currently insure, during 2001 and 2002. My hon. Friend the Economic Secretary to the Treasury and I met the Association of British Insurers on
In relation to the concerns expressed by the ABI, the Government are acting to reduce flood risk, through substantial increases in investment in flood and coastal defence (which now totals over £400 million a year). Flood defences are being repaired, renewed, maintained and improved. Flood warning arrangements are continually being improved. The Government have issued strengthened guidance to local planning authorities on control of development in flood risk areas, and are reviewing the financial and institutional arrangements under which the flood defence service is delivered.
Yes1 person thinks so
No0 people think not
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