"Same thing, innit? "
Not quite. I suppose you can manage without burglary cover but a serious flood could easily leave you £50k out of pocket. The government considers it socially desirable that the majority of the population have access to flood insurance at a reasonable cost.
The statement of understanding whereby Insurers undertake to provide flood cover to renewing customers even though there is a history of flooding is due to end soon and is to be replaced by a scheme called "Flood Re"
The existing scheme is not very satisfactory in that whilst insurers undertake to provide cover for existing Insureds there is no limit on the premiums or size of the excess they may charge or indeed any provision for new owners of flood prone properties.
The new scheme will make cover available for nearly all but it is going to cost us money. A levy is to placed on all policyholders of around £10 to £15 although that may well have to rise in light of the recent floods.
For full details of the proposed scheme see.
www.abi.org.uk/Insurance-and-savings/Topics-and-issues/~/~/~/link.aspx?_id=E483D07DA3BD43BDB730A671A1C853CA&_z=z
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