Scheme document published for Flood Re regulations
New draft regulations to establish Flood Re were laid before Parliament on 1 July 2015, along with a new edition of the scheme document. If approved, Flood Re will start operating on 1 April 2016, although it is likely to test its systems behind the scenes with insurers, before that point.
It is worth noting that Flood Re is not a universal panacea for flood insurance in affected areas. There are still many types of property at risk of flooding which will not benefit and will be subject to market levels of premium and excess. They include all commercial property built since 1 January 2009, all buy-to-let property, and most blocks of flats.
There is also nothing in the draft regulations or the scheme document which restricts excesses for flood insurance, or which limits the conditions which insurers can impose on policy holders (such as installing flood resilience measures).
Speak to our commercial property team for legal advice on anything property-related. Contact them here.We're here to help