Quarterly weather-related claims reach record high

Insurers paid out a record £226m for weather-related damage to homes and possessions in the first quarter of 2025, surpassing Q1 2022’s previous payout record by £67m.

The figure, published today (7 May 2025) by the ABI, marked the first time claims had crossed the £200m boundary and came after seven consecutive quarters where claims topped £100m.

The ABI suggested the record figure was due to “consistent bad weather, including Storm Eowyn – which the Met Office described as the UK’s most powerful windstorm for over a decade”.

Businesses also saw the impact of bad weather, claiming £109m for weather-related damage and business interruption – up £7m from the previous quarter.

Changing climate

The ABI has previously called for government investment to “ensure that the UK keeps pace with adapting to our changing climate”.

Louise Clark, manager of general insurance policy at the ABI, said: “Insurance remains a critical safety net when disaster strikes. But with climate change driving more frequent and severe weather, there must be a greater focus on prevention measures.

“Adequate and sustained investment in flood defences is crucial and we urge the government to commit to an investment of at least £1bn a year as part of its upcoming spending review.

“We also want to see swift action to combat surface water flooding and a clear strategy to build climate-resilient homes in safe, flood-free areas as part of the planning and infrastructure bill.

“Such forward-thinking measures will not only deliver substantial financial savings in the long-term, but also mitigate the emotional strain that extreme weather events inflict on households.”