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In the summer of 2007 the UK saw the worst flooding in recent memory, with the bill to insurers reaching £3 billion, according to the Association of British Insurers (ABI). Subsequent media interest and mounting political and industry pressure turned flood insurance into a hot topic with many insurers raising premiums dramatically.

With concerns over future inclement weather still high, affordable insurance becoming harder to find and ever-tightening criteria for houses in flood risk areas it is a good time to consider whether your home needs protecting against the financial risks of flooding.

Are You In A Flood Risk Area?
About five million Britons across two million households are in what could be deemed high-risk areas, according to Bureau Insurance Service. The firm suggests that claims against flooding are about twice as frequent as they were a century ago. And as many insurers operate on a postcode basis, homeowners are warned that they could see a negative impact from flooding in their area, even if their own home is not affected.

However, Bureau Insurance Service states that it considers claims on an individual basis and will take into account claims history and any defensive measures installed to prevent flood damage to the property.

Industry analyst Defaqto adds that preparing for inclement weather could be wise in the run-up to Christmas, as there is a chance of more flooding as the winter months draw in. Those who find that they are at risk should ensure they have sufficient "alternative accommodation cover", the firm advises, as flooding could render their domicile uninhabitable for a period of "months if not years". Pets are a particular concern, the company stresses, as "almost half" of insurance policies do not provide emergency accommodation costs for furry and feathered friends.

How Do You Get Insured?
It may be worth remembering that insurers could take into account the postcode of the property, along with any specific flood defences which have been put in place. As a result, it might be useful to make a note of any important information which could indicate that your property is less at risk than its neighbours, as this could result in a lower premium being offered.

Moreover, as contents insurance does not typically cover the structure itself and buildings insurance generally does not cover the contents, arranging both at once could offer total protection.

Some lenders will provide a discount if both policies are obtained together or, if only one is being arranged at present; it may be worth looking into whether a discount is likely to be available if the other form of insurance is subsequently taken out.

If the worst does happen, buildings insurance could be the most important policy in the short-term as cover usually includes provision for emergency accommodation, with funds of up to 20 per cent of the insured value of the home available.

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