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www.abi.org.uk/floodinfo
For the latest information on flood risk and insurance issues, please see the joint ABI/Environment Agency leaflet on the new Flood Map, and how insurers use information on flood risk in their underwriting.
Latest figures from the 2007 floods
Useful publications
Flooding: A quick quide to the claims process
Repairing your home or business after a flood
Additional Questions and Answers for Customers on Flooding and Insurance:
My property may be about to be flooded. What should I do?
If you live in a flood risk area personal safety is your top priority. Property owners should:
- listen to local radio and Environment Agency Floodline bulletins (0845 988 1188) for up-to-date information on the flooding situation in their area;
- collect personal belongings including insurance and bank details and essential telephone numbers together and keep them in a waterproof bag;
- if safe to do so, move property from lower floors to higher levels. Be prepared to turn off essential supplies - gas, electricity and water - at the mains;
- listen to the advice of the authorities and follow any instructions they give to leave a property;
- contact their insurer as soon as possible after a property has been damaged. Claims staff will be able to advise on what to do next.
- If advised to leave your property by the authorities, listen to their advice and follow any instructions they give. Leaving your property as secure as possible.
- Make sure you have your insurance contact numbers and details with you.
Dealing with a flood and recovering afterwards is likely to be a very stressful time. Do take care of yourself and your family. Accept support from relatives, friends and neighbours. Get proper food and rest. Depending upon the degree of damage it could be between a few weeks and several months before a property is habitable – pace yourself and take one step at a time. Do not be afraid to ask for help.
Other frequently asked questions
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Will my property be covered for flood damage?
The overwhelming majority of household policies provide cover in respect of flood but check your policy NOW to make sure this is so. Under commercial policies flood cover is normally provided as an option at additional premium.
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Will both my Buildings and Contents be covered?
If you own your own house and you have taken out buildings and contents insurance with the same or a different insurer you will be covered but make sure you have an adequate level of insurance - you may be subject to a reduced cover if you are underinsured. If you have not taken out buildings and/or contents insurance then you will have to pay for any flood damage to uninsured property.
If you are a tenant and have taken out contents insurance you will be covered in respect of your contents and any fixtures and fittings which belong to you. Buildings insurance is normally the responsibility of the landlord.
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Will I get any state assistance to help cover uninsured losses/damage?
Where people are affected by flooding, the Social Fund can provide emergency financial help through community care grants and crisis loans. This help can be claimed by people who are receiving income support or income-based jobseeker´s allowance and to others who have limited resources.
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I do not know the name of my insurance company
ABI does not hold a database of policyholders and their insurance companies. Speak to your broker, insurance adviser, mortgage lender or bank (direct debit/standing order payments can be used by them to identify your insurer) who may be able to provide details. If you are in rented accommodation, speak to your landlord or local authority where you pay your rent.
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I know the name of my insurance company but I cannot find my policy
Ring directory enquiries or look in telephone directory for your insurer. When you ring them give them as many details as you can. The insurer is likely to be able to find your policy details from your personal information and your postcode.
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My property has been flooded. What do I need to report to my insurer about my claim?
Some insurers will take details by telephone. Claims staff will be able to give advice on the actions you need to take. In certain circumstances, helpline staff may be able to give you the go-ahead for repair work to be commenced. Most helplines operate 24-hours a day.
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I had to leave my house and I am living in alternative accommodation. How long will I be able to stay here?
In most incidences there will have to be “damage” to your home or its contents to trigger the alternative accommodation cover. The majority of companies would expect the policyholder to agree the alternative accommodation arrangements with the loss adjusters prior to committing themselves to alternative accommodation.
In all cases policyholder should be mindful of the length of time they will require alternative accommodation and the specific policy’s limits on providing cover in this type of incident (typically 20% of the Sum Insured). In the unlikely event of the alternative accommodation portion of cover being used up, it will be your responsibility to make your own accommodation arrangements and to pay for them.
Where you are out of your home for only a short period, ‘reasonable costs’ in respect of hotel accommodation are usually acceptable. Such costs will typically be reimbursed as soon as it is practical. However when you require long-term accommodation, the loss adjuster may locate a property, while some insurers may arrange to pay these bills directly.
Alternative accommodation must be reasonable and in keeping with your normal lifestyle. Always obtain your insurer’s approval before incurring any costs.
Where there are two insurers – the building insurer and the contents insurer – the building insurer would be expected to take the initiative with regard to arranging alternative accommodation.
If you prefer to be near your property when the floodwaters have gone some insurers, depending on the circumstances, may arrange for a mobile home to be placed in your garden.
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How long will it be before I am back in my property?
Once the flood waters have receded you should:
- Remove mud
- Clean and disinfect
- Dry out your property
- Where possible, advice should be sought as to how walls, furniture and carpets should be cleaned before any work is undertaken.
- Seek professional advice on how long drying out a property will take. Insurers have experience of the time it takes to dry out property in a correct way. You will not be able to redecorate before the property has thoroughly dried out.
Depending on the degree of damage it could be between a few weeks and several months before a property is habitable.
How long do I need to keep the goods that have been damaged?
Perishables:
Do not eat any food that has been exposed to flooding. Throw it away and keep a note of the items disposed of. If you have any recent receipts for food that was purchased for the freezer retain them as part of your claim. Fridges and freezers should be cleared out as soon as possible.
Material goods:
It is a good idea to take photographs of the damage. Any carpets, furniture or other goods that have been removed from your home should be retained until your insurer has agreed that they can be disposed of. If it is not possible to store or retain damaged goods keep a sample or a photograph to support your claim. Every effort should be made to contact your insurer or their representative (loss adjuster) to obtain their agreement to the disposal of goods.
It's also very helpful to rescue and dry out any instruction manuals and guarantees showing the make and model number of electrical equipment, or recipts for other items.
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Can I use my own builder?
You can use your own builder if you choose to do so. You may find it beneficial to use a builder recommended by your insurer from their “approved list”. As the standard of work from such a builder will be known and have been monitored, it will be acceptable to your insurer. By using an approved builder if any problems do arise it will be easier for you to raise the matter with your insurer.
If you do decide that you would like to choose your builder to undertake your repair work, you will most likely be asked to obtain 2/3 estimates in order that your insurer has a proper understanding of the work that will be needed and the likely costs.
You will need the insurer’s confirmation that they have agreed an estimate before any work commences. You will also need to refer any problems with reinstatement work, involving increases in costs, to your insurer and obtain their agreement before any such work goes ahead.
Any complaints arising from work undertaken by a builder of your own choice, which is not sanctioned by your insurer, will ultimately be for you to resolve.
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Flooding has damaged my garden. Can I make a claim?
Your household policies will generally cover damage to outbuildings, garages and sheds. They do not normally cover storm or flood damage to gates, fences, hedges and garden plants and shrubs.
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Will I have to pay an excess (i.e. the first part of any claim)?
Unless you have chosen a different amount, you will have to pay a standard policy excess. Check your insurance policy to confirm the amount applied by your insurer.
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Why has a loss adjuster been appointed?
A loss adjuster represents your insurer and has been appointed to confirm the circumstances of the claim, to make sure the claim is covered by the policy and to ensure that the full value of the claim is agreed with you.
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I have a complaint about the way my claim is being handled by my insurance company and/or loss adjuster
Insurance company:
Every insurer has a complaints procedure which you will find with your policy documents. As a first step telephone or write to your insurer keeping a note of what you have said. If the problem is not resolved to your satisfaction you can contact the Financial Ombudsman who will investigate the complaint within their terms of reference. Any Ombudsman decisions are binding on the insurer but not on the policyholder. Ultimate redress for the policyholder is to choose to take action through the Courts.
Loss Adjuster:
As a first step speak to your insurer. You can also try to resolve the matter with the loss adjuster handling your claim or with a senior member of the firm overseeing your claim. If this is not possible then you should contact the head office of the firm which employs him or her. In this respect you should contact the Chartered Institute of Loss Adjusters at the address below. All loss adjusters will have formal complaint procedures. If you are still unable to resolve the matter, you should contact your insurance company. They will handle complaints against loss adjusters according to their (the loss adjusters) written complaints procedure.
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Where can I get more information about Loss Adjusters?
You should contact:
The Chartered Institute of Loss Adjusters (CILA)
Peninsular House
36 Monument Street
London EC3R 8LJ
Tel:020 7337 9960
e-mail: info@cila.co.uk
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I have a complaint about the builder appointed by my insurer to undertake my repair work
Telephone the claims department of your insurer as soon as possible to report your concerns. Keep a note of what the problems are. If they are not resolved to your satisfaction write to the claims manager of your insurance company.
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I believe there to be a fraudulent aspect to the work being undertaken by my repairer
Speak to your insurer immediately. Alternatively, if you wish to deal with it in a confidential manner, consider contacting your local Trading Standards Department.
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How long will it be before I get my claim settled?
Domestic:
Much will depend on the extent of the damage to the property. If it is a relatively simple claim and the loss adjuster/company representative has reached a final settlement figure, a cheque should be with you normally within 10 working days of agreement being reached. In respect of larger, more involved claims, interim payments may be made. In some circumstances direct settlement may be made with, for example, the proprietor of temporary accommodation providers.
Commercial:
Commercial claims may require more specialist investigation which will take a longer period of time. There may also be complications due to consequential losses that require more complex assessment. In dealing with any claim large or small the insurer will be looking to settle the claim as soon as possible as this is in the interests of all parties.
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I know I am underinsured. How will my insurer deal with my claim?
The onus is always with you to make sure that your sum insured is correct. Insurers have traditionally supplied household rebuilding and consumer durable index linking information to help policyholders keep their sums insured up-to-date.
Any approach you make to your insurer regarding your claim, where there is an element of under-insurance, will be considered on its merits. It is unlikely that there will be an across the board approach by insurers to such claims. Some may choose to take a sympathetic view where the policyholder has been with them for some considerable time and where they can demonstrate that they have made efforts to keep their sum insured up-to-date. Where it is clear that there has been “deliberate” under-insurance and a policyholder has made no attempt to increase their sum insured, despite accumulating high value goods or adding extensions etc, then it is probable that an insurer will look to settle any claim under the “strict” policy terms and conditions which may mean that you have to meet part of the claim yourself.
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Will my insurance premiums increase as a result of my having made a claim for flood damage?
Many factors affect premiums and they may rise for many reasons. After the storms and floods of 2002 insurers have had to increase their rates to ensure that claims continue to be met.
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Will my insurer refuse to renew my policy next year?
Insurance enables householders and businesses to minimise the financial cost of damage from flooding. ABI members have stated that they intend to continue to make available flood cover to as many customers as possible. The premiums charged and other terms - such as excesses - will reflect the risk of flooding but offered in a competitive market. The ABI´s Statement of Principles on the provision of flood cover sets the framework within which this can be delivered.
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My vehicle has been damaged in a flood what claim can I make under my motor policy?
If you have a comprehensive policy you can make a claim. The severity of the water damage will determine how the claim is handled and whether your car can be repaired or is a total loss. Factors which the insurer will take into account are the depth of immersion and the contamination of the water.
If you have third party only, or third party, fire and theft there is no cover in place and you will have to arrange and pay for any repairs you undertake.
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My caravan has been damaged. Can I claim on my household insurance policy?
"Caravan" cover is not automatically provided under household policies. But if you have extended your cover to include your caravan you can claim. In some circumstances cover may have been provided by organisations such as the Caravan Club. If you are unsure as to the supplier of your cover a call to your insurer will confirm whether it is with them.
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Further Information, links and publications
ABI Policy Papers on Flooding
Environment Agency
CIRIA
www.helpimflooded.co.uk
Where to start when the flood water has gone - Advice from the Electrical Safety Council
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