Floods drive increase in insurance claims
There was a mass influx of business insurance claims last year due to weather, particularly in December with regards to small businesses as a result of flooding. The Department for Environment, Food & Rural Affairs stated that nearly 5 million or 1 in 6 properties are at risk of flooding at anytime and they have committed over £2 billion in funding to improve flood forecasting and protection. However, despite their best efforts, businesses have struggled to cope with the amount of damage they incurred during mass flooding in 2013.
The Insurance Octopus wrote last year about how you can ensure you and your business is protected by choosing the right cover, including; content insurance & business interruption insurance.
Worst affected areas
One of the worst affected areas in England was Purley, along the River Thames which cannot have necessary flood defences built due to continued flooding.
The Joseph Rowntree Foundation has outlined in a document titled, ‘Social Justice and the Future of Flood Insurance,’ that the insurance industry would provide flood insurance for small businesses regardless of their flood risks. However, businesses that were and are in ‘high risk’ areas, that were victim to nearly continual flooding still incurred difficulties in claiming compensation from damages.
In fact, claims in high risk areas have tripled in the last decade, with small business owners struggling in particular due to rising insurance costs. If you are in a high risk area or have been affected by last year’s flooding, the National Flood Forum provide a guide that provides all the information you need to obtain policy cover.
Make sure you are covered
It’s not just high risk businesses that need to find cover, even if your business is deemed low risk the amount of businesses affected by the recent flooding at the end of last year shows that you need to have the right insurance.
The Insurance Octopus can help you consider all the avenues of insurance available to you, to ensure that you and your business are protected and can help highlight problems you might not have identified otherwise. Call us on 0161 968 2060 or email us at firstname.lastname@example.org.