New Homes ‘face Insurance Difficulty’
Some new property developments will be harder to insure against flooding than others, according to the Association of British Insurers (ABI).A number of new developments have been given planning permission despite recommendations against their construction by the Environment Agency.Local Planning Authorities must consult the Environment Agency on development proposals that may be at risk of flooding.However, according to Nick Starling, director of general insurance and health at the ABI, 16 developments featuring 240 homes were given planning permission against Environment Agency advice.This could make it harder for homeowners that purchase the property to insure against flooding after they have purchased one of these new homes.Mr Starling said: “Building on floodplains should be avoided, but if it has to take place then developers must ensure that properties incorporate measures to reduce and manage the flood risk.”Without proper measures to reduce flood risk, these properties will be uninsurable, unsellable and uninhabitable.”People across the UK are recklessly cutting their indemnity cover as a means of harnessing their finances, it has been warned. By doing so, individuals could be leaving themselves open to suffering future losses.Insurance is an essential way to protect yourself and your household from economic adversity in the time to come. It is prudent to make sure that you have an insurance policy that will bring you peace of mind and that will cover you if the unforeseen occurs. A dwelling is probably the biggest asset that you will possess and getting a Unison union policy is a good move.
