Local broker calls on government and insurance industry to reveal new flood insurance agreement as many Sheffield homeowners worry over premiums

4th December 2012

Sheffield insurance broker is urging the government and insurance industry to announce a solution for flood insurance for homeowners beyond 2013.

The "statement of principles" that governs existing insurance arrangements between the government and the insurance industry expires in June 2013. The current statement means insurers agree to provide cover for flood-risk properties provided the government continues to invest in flood defences.  However the government made it clear some time ago that it will no longer renew this deal once it runs out. David Biggs, Managing Director of IFM Insurance brokers said, -Many of our policyholders are very worried and anxious as to whether they will be able to afford or even get home and contents cover in the future.  Worryingly the government is still to outline a replacement solution and no announcement seems imminent.  What's more a failure to reach a solution would potentially leave thousands without affordable cover, meaning owners would be unable to sell their properties, potentially exposing them to financial hardship.