Insurers are set to ask the government to double its spending on flood defences at a high-level meeting with ministers at the end of September.
The Association of British Insurers (ABI) is lobbying the government to make sure adequate flood defences are in place before the flooding season starts in October.
It is understood that insurers are unhappy with the amount so far spent on flood protection and want the figure to be doubled. It is estimated £300m is reserved for flood defence maintenance and new works.
An ABI spokeswoman said: “We need to see action. John Prescott promised that the grief caused by last year's flooding would never happen again.”
The spokeswoman applauded the government in bringing out planning guidelines for new housing built on floodplains, but said action for existing properties was a high priority.
The guidance has come under attack for being toothless. One senior industry figure said policy planning guidance note 25 had no compulsory compliance requirement from the government.
It is understood insurers will threaten to withdraw cover from some areas of the UK if the government does not increase its spending.
Premiums have already risen by 10%, causing a 3.4% reduction on take up of household insurance, according to market analyst Datamonitor. And some insurers have already withdrawn cover from high-risk areas.
But the ABI said there would be no threats. “We are focusing on the positive,” said the spokeswoman.
It is estimated that the severe flooding suffered since last October has cost £760m and 10,000 homes were affected.
One of the key problems faced by insurers is the high value of claims.
Chief executive and chairman of Aon, Dennis Mahoney, said: “Most people now have DVDs, videos, stereos and lots of other high-value equipment that can be destroyed by flooding.”
Norwich Union (NU) announced it would increase the number of postcodes that have been identified as being at high risk from flooding.
The insurer said this reflected the increased frequency and cost of severe weather events across the UK. It will affect NU's range of household products, including its Home Plus and Your House policies.
Head of household products for NU, Nick Pierson, said: “We have seen an upward trend in flooding in recent years and the Environment Agency predicts a ten-fold increase in flood risk over the next century.”
“Coupled with this, it has become clear that planning, maintenance and funding of flood defences is currently inadequate to protect against major flooding.”
