ABI Highlights Insurers’ Role in Helping Cumbria Flood Victims

One year ago a series of devastating floods hit Cumbria, the county on the west coast of England just below the Scottish border. Heavy rain caused extensive flooding in a number of towns

A year later the area is beginning to recover, aided by the assistance insurers have provided to help flooded homeowners and businesses to recover. The Association of British Insurers has given details of the assistance the industry has provided in the wake of “the tragic loss of a life,” and the “widespread damage and disruption.”

The industry handled 25,000 flood and storm damage claims from customers, and paid out “in total £174 million [$280 million] in repairing damaged homes and businesses, and arranging alternative accommodation for people whose properties were uninhabitable while repairs were being carried out.”

It also helped to get “affected businesses up and trading as quickly as possible,” paying £104 million [$167.2 million] in claims to flood-hit local firms. “These included a hotel, whose flood damaged rooms were repaired in time for them to open for the busy Christmas period, and some shops in Cockermouth that, less than a month after having been badly flooded, had been fully dried, rewired and were back open for business.”

Insurers also “arranged temporary accommodation for 470 people while their uninhabitable homes and businesses were being repaired,” the ABI noted. “Of these people, 94 percent are now back in their properties. Those not yet returned will be from the most badly damaged properties, which can take over a year to dry out.

“Drying out and repair times also depend on the age and construction of the property Insurers continue to do everything possible to get those still out back as soon as possible, including measures such as using specialist drying companies to speed up the recovery process.”

Nick Starling, the ABI’s Director of General Insurance and Health, commented: “Last November’s floods were a tragic and traumatic event for Cumbria. No one should under-estimate the misery and destruction that flooding brings. Insurers acted extremely quickly to help flood victims get back on their feet, and continue to do everything possible to get anyone still out of their badly damaged property back as soon as possible.

“Events like this highlight why flood insurance is so important. With the flood risk set to worsen across the UK, insurers are determined that flood insurance continues to as remain widely available as possible. To ensure this happens, the Government needs to implement a long-term flood management strategy. Managing the flood threat better will reduce the risk of devastating floods, like those that hit Cumbria last year, from happening again.”

Source: Association of British Insurers