Michael Noonan ‘shutting door’ on firms’ hopes of flood cover

The Government has been accused of “shutting the door” on the chance for thousands of businesses and homes in flood-hit areas to get insurance cover even when flood prevention measures are put in place.

Fianna Fáil’s Michael McGrath said Finance Minister Michael Noonan was letting insurance companies continue to decide in all cases whether or not cover would be given, even though, where extensive relief works had been carried out in the likes of Mallow and Clonmel, cover was still not being provided.

Mr McGrath had asked the minister whether he would introduce a scheme where, following the completion of a flood alleviation scheme to the required standard, insurers would be obliged in law to reinstate flood insurance cover there. He also asked if the State should share in the risk for a defined period, immediately following the works’ completion.