Floods summit: insurers refuse to rule out higher charges
As insurance company chiefs meet ministers in Downing Street to discuss their response to the flood crisis, a spokesman for the insurers says it is “too early” to say what will happen to premiums.
- The 14 severe flood warnings for the River Thames have now been downgraded. Although river levels on the Thames are gradually falling, they are still high and property could be flooded for some time.
- Two severe flood warnings, meaning danger to life, are still in place on the Somerset Levels, where the country’s largest-ever pumping operation continues.
- The River Severn has also risen as a result of recent rainfall, causing a continued risk of flooding in Worcestershire and Gloucestershire. Meanwhile groundwater flooding remains a concern in Berkshire, Hampshire, Surrey, Sussex, Kent and parts of London.
- Three houses were evacuated on Monday amid fears they could collapse after a huge 25ft wide sinkhole opened up in a street.
- Police cleared the properties on Magdalen’s Close in Ripon, North Yorkshire, at 5.40pm after receiving reports the huge sinkhole had appeared.
- Officers carried out house-to-house checks in the area to warn people close to the affected properties.
Senior representatives of leading firms attended the No. 10 talks after the government called for a “stepped-up national effort” to deal with the impact of the extreme weather.
Aidan Kerr, from the Association of British Insurers (ABI), said ministers did not make any demands at the meeting. He told BBC Radio 4’s World at One programme: “They were just asking for information about the process and in the meantime we just outlined what insurers are already doing and what they have been doing since the start of December.”
Mr Kerr refused to rule out an increase in insurance premiums, saying: “It’s far to early to say what will happen to premiums. We still are waiting for the water to recede in many places before we can even assess what the damage is going to be like.”
On top of the £14m in successful insurance claims – typically between £500 to £3,000 – £24m has been paid out for emergency accommodation, the ABI said.
£500m bill
Last week insurance experts told Channel 4 News that the total bill is likely to exceed £500m.
Polling on Monday showed most Britons believe the government has lost control of the flooding crisis, as police announced 24-hour boat patrols in flood-hit areas to prevent looting.
Nearly three-quarters of Britons (72 per cent) polled said the coalition does not appear to be in control of the situation. Almost two-thirds (63 per cent) said the government has emerged from the extreme weather with a worse reputation for crisis management.
The poll by ComRes for ITV News found that just a quarter (26 per cent) believe the flooding has made no difference and only 7 per cent think that the government is emerging from the situation with a better reputation.
As the weather began to let up, Avon and Somerset Police said they would be using two inflatable lifeboats provided by the RNLI to keep communities on the Somerset Levels hit by flooding safe.
The Environment Agency has produced a flood map, which is regularly updated (see below).