New flood insurance scheme launched to help small businesses
08 Dec 2016
The British Insurance Brokers’ Association (BIBA) has announced the launch of an insurance scheme to provide flood cover for businesses, after the government backed a similar scheme for homeowners earlier this year.
The scheme, available only to BIBA members and backed by Lloyd’s underwriting, will provide insurance for commercial sites and rental properties in areas at risk of flooding. Until recently, many small businesses in high risk areas have been unable to access affordable flood insurance.
Flood damage in Britain from winter storms last year resulted in claims from more than 15,000 homes and businesses, and could lead to pay-outs of £1.3 billion, according to the Association of British Insurers (ABI).
Commenting on the introduction of the new scheme, Steve White, Chief Executive of BIBA, said: ‘We have been working closely with government ministers and their teams in relation to flood cover for some time.
‘We are delighted that this scheme will now be able to provide protection for many of the businesses that have not been able to buy cover against flood damage.’