Industry calls for greater state role in flood cover

THE Irish insurance industry has suggested a planned review of how the European insurance market protects against flooding and other natural disasters could call for greater state involvement in cover against catastrophic weather events.

The industry has come in for strong criticism from homeowners and businesses in areas such as Cork city, Bandon and Ballinasloe which suffered up to nine feet of flooding last November. They say businesses seeking to renew policies are being refused cover in high-risk areas while others are facing a doubling in premiums or being forced to agree to paying large excesses if flooded again.

Irish Insurance Federation chief executive Michael Kemp said all policy renewals are judged individually and action by the local authorities and the Office of Public Works (OPW) to reduce risk are taken into account.