The Association of British Insurers has confirmed its members will offer flood insurance for an extra month beyond the end of the current agreement.
The British Property federation welcomed the news that the Association of British Insurers (ABI), have extended their agreement with the government which expires on, June 30.
Since 2000, the Statement of Principles has ensured householders can access insurance against flood in exchange for state investment in flood defences, but with this agreement extended for a month from its 30 June expiry date, the BPF has reminded Government that property without insurance is essentially worthless and that a long term agreement must be found.
Ian Fletcher, director of policy at the British Property Federation, said: “This deadline has been looming for years and has not had the attention from Government we would have liked to have seen. It would be unforgivable for this situation not to be resolved as a matter of urgency, and universal flood cover to slip through our fingers.
“A short extension by the insurance industry is very welcome and sensible if an agreement with Government is within reach, but it is not fair on property owners to live month-by-month, not knowing whether they will be able to access flood insurance for their property on reasonable terms.
“Householders and businesses have been living with this uncertainty for far too long, and it has already driven up insurance premiums. The fact remains, we still don’t know whether hundreds of thousands of homes and businesses will be able to access affordable flood cover in a matter of weeks.”