Healey issues flood insurance warning

Floods Recovery Minister John Healey urges people in communities hit by the July floods to seek free and impartial insurance advice before signing up with third parties who offer to help settle insurance claims.

The July floods affected people particularly along the rivers Severn, Avon and Thames.

Publishing information setting out how people can access free insurance advice he warned that accepting help from third parties could mean people are left short of the money they need to fully repair their damaged homes and replace prized possessions.

His advice includes:

You can make a claim directly and free of charge direct to your insurer
You don't need to pay a 'middleman'
If you choose to accept help from third parties check they are regulated by the Financial Services Authority
Free, independent advice is available from your local Citizen's Advice Service

Having visited a number of affected areas John Healey's top priority is for life in communities to get back to normal as quickly as possible. Key to this is people being able to repair their homes and replace their possessions at the earliest opportunity. So access to free insurance advice is essential. He has met with the insurance industry and heard how they are putting extra resources into speeding up the claims process.

Flood Recovery Minister John Healey MP said: "I've visited a number of communities affected by the floods and have spoken with people whose homes have been damaged and have lost much of their belongings. I know a lot of people are very upset and feel vulnerable at this difficult time.

"That's why our top priority is for life to return to normal as quickly as possible. I have been working with the insurance industry to ensure that claims are being dealt with swiftly so people can start making repairs to their homes and replace possessions.

"It is important people know where to access free and impartial advice so I'm arranging for practical information to be made available in flood affected communities.

"So there is no need to use a 'middleman' who might offer to settle claims in return for a cut of the payout. But where people choose to do this it is important they understand this could leave them short of the money they need to fully repair their damaged homes and replace prized possessions.

"My message is clear - if in doubt speak to the Financial Services Authority, Association of British Insurers or the Citizen's Advice Service. They are there to help."

£46million of support has been announced for flood-hit areas and on top of that local authorities have the special Bellwin scheme to help compensate them for their costs. The Government is working with local authorities so money can be released to help those most in need as quickly as possible. Specialist central government officials from areas including transport, schools and housing are also working with authorities to get a clear assessment of the costs and consequences of the floods so further targeted help can follow.