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New figures reveal scale of insurance response after recent floods

  • Just over 3,000 families in alternative accommodation
  • Emergency payments of nearly £24 million already made
  • Total pay outs estimated to reach £1.3 billion

Following the devastating floods caused by storms Desmond, Eva and Frank during December and over the New Year, insurers are today releasing new figures to demonstrate the scale of the response by the sector.

Statistics collected by the Association of British Insurers (ABI) show more than 3,000 families are now in alternative accommodation while repairs are made to their homes. The average expected pay out for each domestic flood claim is £50,000 – compared with an average from the 2013/14 winter storms of £31,000.

£24 million of emergency payments have been made to both families and businesses to spend on immediate needs, for example food, clothing and staff salaries. Costs for alternative home or business accommodation are paid directly by insurers.

The latest estimates suggest the final amount ABI members will spend on customers affected by flood damage is likely to be around £1.3 billion.

  • Of the £24 million emergency payments made so far, £9million has been to domestic customers and £15millon to businesses.
  • Customers have made nearly 15,000 claims for property damaged by the flooding, more than 5,000 of these claims coming from business customers. There are thousands of smaller claims being dealt with for storm damage.
  • A total of 5,600 motor claims have been received.
  • More than 8,300 initial visits have been made by loss adjusters, who handle the more severe claims.

James Dalton, Director of General Insurance Policy at the ABI, said:

James Dalton"The December storms have brought devastating flooding to significant parts of the UK. Insurers and their representatives have been there to provide practical help and support as quickly as possible to families and businesses coping with the trauma.

"In the immediate aftermath insurers have focused on urgent needs, providing families with somewhere to live and helping businesses into alternative trading premises. They get cash into the hands of those affected so they can buy food and dry clothes. Then, they get the repair process under way as quickly as possible.

"The impact of flooding will be felt for many months to come in affected areas. Cleaning, drying out and repairing flood damaged properties is a major undertaking. Insurers and their expert teams will be there for the long haul to help communities rebuild and repair."

Last updated 01/07/2016