Government confident new scheme will lower flood insurance prices
Lancashire's flood victims are being promised cheaper home insurance thanks to a government scheme launching today.
Lancashire's flood victims are being promised cheaper home insurance thanks to a government scheme launching today.
Flood Re has been set up after people across the county have struggled to afford insurance after their homes were flooded during Storms Desmond and Eva.
Paul Cobbing is the Chief Executive of charity National Flood Forum, who are welcoming the new scheme.
He says it'll hopefully solve a big issue for many people in the county:
"We know there are lots of people who spend a lot of time each year trying to find insurance or have simply given up either because they just can't get it or because it's too expensive. Flood Re is designed to address that - it's going to set limits on what people can charge for flood risk insurance."
The scheme works by the government paying some flood claims which it's hoped will lead to insurers reducing their policy prices.
It'll be paid for by a tax on all insurers.
A number of big name insurers have signed up to Flood Re already.
The Chief Executive of Flood Re, Brendan McCafferty, told Rock FM he's expecting many more to follow in the coming weeks:
"The message is that if the customer wants to find a cheaper price and a better excess they should shop around. But most people will see the benefit when their policy's up for renewal in the next 12 months."
To find the full list of insurers who are offering the benefits of Flood Re, head to the scheme’s website.
Paul Cobbing is urging people to take advantage of the scheme to get cheaper insurance:
"Go on to the Flood Re website - have a look at the insurers that are singed up and try them out. It's important to try several different insurers because we've got to send the message to the insurance industry that they've got to compete with each other to offer the best deals for people."