Climate Change to Affect UK Home Insurance Premiums

The Association of British Insurers warned against possible rises in the cost of house insurance policies.

In the opinion of the organization's experts, recent climate change might increase the risk of flooding in the country, which in its turn will result in dramatic growth of home insurance.

Commenting on the forecast, Mr. Starling, ABI's director of general insurance and health, recalled the floods that were caused by the global warming in 2007 and 2009 and their consequences.
He also added that some British insurers might refuse to insure houses that are constructed on known flood plains in spite of the advice of Environment Agency.

At the moment, every sixth house in Great Britain faces increased risk of flooding. Environment Agency estimates suggest that this figure might increase in the near future due to the nature of the global warming. This is why it is actively participating in various programs designed to protect houses from flooding. In the past 2 years, over 128,000 have been protected.