Insurers have failed Cork flood victims, says MEP

An in-depth review is going to take place at EU level into insuring against natural disasters, which could prove helpful to those affected by the flooding of Cork in November.

People affected by the flooding have seen their premiums rise significantly once they have gone to get their premiums renewed, with some being told they will not get cover against future floods.

However, Sean Kelly, MEP for Ireland South, has secured a commitment from EU Internal Market Commissioner Michel Barnier, for an in-depth review of the EU insurance regime against natural disasters.

Mr Kelly said: "The insurance market has failed the small businesses and households of Cork city, Clonmel, Skibbereen and Bandon, among many other areas, afflicted in the recent crisis.

"It is not acceptable that insurance costs rise six-fold overnight and that people must live in constant fear of their livelihoods. What we see is a new vista of increased natural disasters. The insurance industry in Ireland and across Europe is inadequately equipped to deal with these new challenges."

Mr Kelly said local authorities needed to put an end to bad planning, including development on flood plains, while the EU Floods Directive should be fully implemented.

He said the insurance industry then needed to respond by lowering premiums, while an EU-wide market for insurance should be promoted to widen the pool of cover.

Meanwhile, a spokesman for Quinn-direct have said that they settled 90% of all flooding claims since November.

Article courtesy of the Evening Echo newspaper.