Insurers and government continue squabble.
It is probable that Sir Michael Pitt’s anxiously-awaited flood management review, unveiled today, will bring more questions than answers.
The blame-game has been played continuously since the floods hit the UK last June and July, with insurers, government, water companies and homeowners each pointing the finger at the other.
With around 2,000 poor souls still displaced, including many camped out in trailers, it is no wonder there is an eagerness to lay blame somewhere. Nobody wants to be the bad guy in a situation that is at least a micro version of Hurricane Katrina. Who knows? Brad Pitt might pay a visit any time.
Before the (other) Pitt review was even released, the Association of British Insurers (ABI) was forced to defend its members against accusations expected in the review over insurers not doing enough to rehouse flood victims.
The ABI said around 96% of customers had been able to return to their homes by Christmas, and added that its members were working nights to get the remaining four percent home. But it is expected that the review will also ask insurers to help pay for new initiatives such as research to find ways to dry out homes faster.
After an anticipated hit of £3bn from the floods, it is unlikely insurers will want to pay for more than their fair share.
Meanwhile, the insurance industry continues to call for more government spending on flood defences, and for water companies to do their part and share data such as where drainage systems are located.
Whether or not the insurance industry has done or is doing enough for flood victims is of course important. But what Pitt’s independent review really needs to achieve is clear guidance that lays out who is responsible for what.
