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After the floods

04 October 2007
Issue: 7291 / Categories: Features , Insurance / reinsurance
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Can mediation cut through the claims bottleneck after weather-related disasters? asks Sue Prince

At the beginning of September a flood summit was held in Yorkshire to discuss the implications of the appallingly wet summer weather which caused devastation to property across large parts of England and Wales. The cost of repairing the damage to homes and businesses has been estimated at around £3bn and the insurance industry is bracing itself for an additional 60,000 claims as a result of water damage to properties, according to the Association of British Insurers. This was more than merely a localised issue, as people’s lives were affected on a huge scale. A total of 857 schools were damaged by the early summer bad weather, and 21 were not ready to receive children at the beginning of the autumn term. A caravan park has been built by the local council in Doncaster to house people whose homes will take up to 18 months to repair.
Climate change caused by global warming is likely to increase the possibility of natural disasters in the future with the concurrent fear of widespread damage to property.

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