Costs from extreme weather events would top £1 billion, in today’s terms, according to report by PwC UK. The research comes as the British Red Cross warns that one in seven UK households do not hold building or content insurance.
Over the last decade the most costly floods in terms of insurance costs occurred during the winter of 2015-2016 which saw Storms Desmond, Eva and Frank impact homes and businesses across the UK.
- Fresh analysis shows that a flood as extensive as 2015’s Storm Desmond, Eva or Frank would result in insurance losses of up to £1.6 billion in today’s terms according to PwC
- Despite protection from schemes such as Flood Re, restrictions, which apply to commercial properties, homes built from 1 January 2009, and blocks of more than three residential flats would mean that these groups may still be at risk of adverse weather conditions.
The figures come following the significant impact of Storm Eunice from February of this year which saw estimated losses of £200 million to £350 million based on the high winds which led to damage to homes and commercial buildings plus extensive travel disruptions.
Despite expectations that Storm Eunice would be severe, the strongest gusts severely impacted coastal areas as well as caused travel disruption with airlines and train operators cancelling services.
The damage from Storm Eunice was mainly in respect of damage to homes, commercial properties and vehicles from falling trees and flying debris.