Flooding is an increasing threat for both residential and commercial property owners across the UK. With a growing number of properties prone to any combination of river, sea and surface water flooding it’s important to be armed with as much knowledge as possible before you purchase a property in a flood zone. Flood Excess Insurance has provided the answers to six common questions:
- How do I find out if my property is in a flood zone?
There are a number of different resources which provide you with information about the flood risk for a property. Firstly you can visit the Know Your Flood Risk website here where you can obtain a report created using trusted data from reliable resources which will tell you about historic flood events, the risk of river and sea flooding and ESI Groundwater stats.
The Environment Agency also has an excellent resource here so that you can assess any immediate flood risk to your property and you can also register for its flooding alert service which advises you by text, phone or email of imminent flood risk to your property.
- Could living in a flood zone impact my ability to get a mortgage
In extreme cases where a property is deemed uninsurable your ability to get a mortgage could be impacted but generally speaking living in a flood zone is unlikely to stop you getting a mortgage. It may, however, mean your insurance costs are higher which consequently may affect your overall financial circumstances and stop you from buying a property.
- Will my insurance premium be high and is there a particular type of insurance cover that I should look for?
The cost of cover should reflect the risk so if the property has not experienced any flooding for in excess of 20 years then your insurance premium shouldn’t be high. However if there is a history of flooding near the location then it can be difficult to obtain cover. The National Flood Forum has a useful resource for those who find it difficult to obtain insurance which can be found here.
It is also important to read the small print as sometimes the insurance premium itself can appear normal but the excess cost should a flooding event occur could be very high. It is now possible to insure your flood excess separately which significantly reduces the risk for properties located in flood zones. You should contact your broker in the first instance or visit www.floodexcess.com for further information.
- Will my property be covered by Flood Re?
Flood Re doesn’t come into effect until April 2016 and with no maps published with the finer detail we don’t know if your property will be covered. Commercial properties, landlords and residential properties built from 1 January 2009 will not be covered by the scheme. We strongly advise that you talk to your broker who will be best placed to give you advice on your individual situation.
- What can I do to ensure my property is prepared for a flood?
The Association of British Insurers (ABI) has some useful advice to prepare you for a flood which can be found here but the number one point is make sure that you have adequate insurance cover and have read the small print. Secondly ensure your insurance documents are located within easy reach.
- If my property is flooded how long will it take for everything to be repaired?
Flood damage to your property may mean that you have to move out but assuming you have buildings and/or contents insurance, this should cover the cost of appropriate alternative accommodation and other related additional expenses. Once again check the small print of your policy to ensure that you have adequate levels of cover for these kinds of situations. What seems to be a lot of money can go very quickly if you need to be out of your property for considerable lengths of time.
In cases of severe flood damage it could take anything from six months to 12 months or more for your home to be restored and become habitable again. This is mainly due to the time it takes for properties to dry out after being flooded. Your insurer or their appointed loss adjuster will do everything possible to restore your home as quickly as possible and discuss progress with you throughout.
Chris Netherton is CEO of Flood Excess Insurance
- Selling a House in a Trust After Death: What You Should Know - April 18, 2024
- Maximising Your Home’s Potential: The Ultimate Renovation Checklist - April 16, 2024
- Key Tips on Managing Your Property Portfolio - April 16, 2024
