The British Insurance Brokers’ Association (BIBA) said it had launched an insurance scheme that provided flood cover for businesses, after the government backed a similar scheme for homeowners earlier this year.
BIBA said the scheme, available only to its members and backed by Lloyd’s underwriting, will provide insurance for commercial sites and rental properties in areas at risk from flooding.
The scheme was developed with risk information provider Landmark, broker Guy Carpenter and Randall & Quilter Investment Holdings Ltd.
BIBA started working on the insurance cover following criticism that the government-backed Flood Re reinsurance scheme focused only on household 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 pounds ($1.7 billion), the Association of British Insurers estimated in May.
($1 = 0.7872 pounds) (Reporting by Noor Zainab Hussain in Bengaluru; Editing by Anil D’Silva)