Are you at risk from flooding?
Every year millions of people are at risk from flooding. Sarah Coles reveals six ways you can help protect your property - and your home insurance premiums during the wet season.
Watching the news coverage of the flooding in Cumbria, and the subsequent clean-up operation, most people went through three stages of emotion. First was sympathy for the victims, then we were hit with relief that we weren't the ones knee-deep in freezing water, and finally we were overwhelmed with worry - what if it happened to us?
Of course we have our home insurance, but would we be covered, and would we ever be able to get cover again if the worst did happen?
The good news is that the vast majority of policies cover all kinds of flooding. In Cumbria, it is expected to provide a bit of a lifeline, paying out about £100 million. The bad news is that after the waters subside, that lifeline will seem somewhat less secure. Many people see their premiums rise substantially, while others may fail to get any cover at all.
To help put your mind at ease, follow these six steps to discover if you are at risk, and how to protect your home if you are.
1) Work out whether your area is at risk
The Environment Agency has a flood map on its website which will pinpoint the areas considered to be at risk. The agency does warn that it can't guarantee complete accuracy, but it is a reasonable guide to whether your area is at risk.
It's also worth signing up for its free flood warning alerts, which will send you an email, text, or phone call if a flood warning is issued that affects your area.
2) Check whether your home is safe
If you fall into one of the flood-prone areas, you'll need to drill down as to whether your property is at risk. Aviva, for example, has a tailored map, which helps identify the specific risk to your property rather than your postcode. They may offer insurance to people who have been refused elsewhere.
3) Do some extra research
If your property is deemed at risk and you disagree, you can gather evidence in your favour. This may mean demonstrating that all occupied areas of the house are situated above known flood levels, that you are on higher ground than surrounding properties, or that you or your community have taken extra steps to protect the property or the area.
4) Flood-proof your home
Some insurers will give you cover as long as you take some flood-proofing steps. This includes measures that will reduce damage if you have another flood, such as fitting ceramic tiles on the ground floor instead of carpets, or raising plug points further up the wall and making sure your boiler is on the first floor.
There have been some problems in the past, with insurers refusing to recognise flood protection measures, so make sure you use a company that is recognised and approved by your insurer.
5) Shop around
If your property is deemed to be at any kind of risk, you'll need to get a second, third, fourth and even fifth opinion. Insurers have very different rules, and use different maps, so where one will refuse insurance, another may offer reasonable terms.
Make sure you do a thorough market search to see what's on offer. If you are struggling, it's worth speaking to the British Insurance Brokers Association. They'll have details of specialist brokers who may be able to help.
6) Consider some compromises
In some instances, where your risk of flooding is really severe, you may be given cover as long as you accept an excess. You will need to do some speedy financial planning to work out how you would pay this excess in the case of emergency, but it is better than nothing.
For some people flooding is a real and present danger. For others, it's just something nasty that happens to someone else. But even if you are not in any risk right now, it pays to be aware of the risks and the solutions, because the situation could change very fast.
The flood warnings continue to pour out from the Met Office, and scientists warn that the incidence of these kinds of things is only going to increase. The Association of British Insurers asked the Met Office to help with modelling the implications of temperature increases. It found that insurance claims from flooding could rise by 14% if global temperatures rose by 4C, which they predict could happen by as early as 2060.
So before you allow relief to wash over you, it's worth taking steps to ensure you are covered should the worst should happen.
**Articles featured on BeatThatQuote.com are for information purposes only and reflect the views of individual writers. Articles are not, and should not be considered as, financial advice. BeatThatQuote.com strongly encourages our readers not to rely solely on information contained within this article/our website, but to conduct their own research and seek independent advice about the financial products they purchase.**
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