Category Archives: Insurance

Business Investment, Insurance, News, Pensions

Barnett Waddingham turns to CAMRADATA for Manager Research across ESG investment strategies to add value to its clients

Barnett Waddingham, a leading independent UK professional services consultancy focused on risk, pensions, investment and insurance has partnered with CAMRADATA, a leading provider of data and analysis for institutional investors, to use its Assisted Search service.

Barnett Waddingham used this manager search service to source bespoke ESG manager research, specific market insights and establish universes and strategies for ESG-related funds for its clients.  This will also enable them to monitor ESG strategies on an ongoing basis.

One of the key benefits was the fact the service is run anonymously and selects and connects users with the right investment managers. The Assisted Search is run through CAMRADATA’s online platform, CAMRADATA Live, is supported by the CAMRADATA team and provided at no charge to institutional investors. It results in a unique custom universe, additional unbiased reporting and research analysis.

Amy Richardson, Senior Director, CAMRADATA says, “We were delighted to help Barnett Waddingham with an Assisted Search across ESG-related strategies.  This has enabled them to collect unique information on ESG funds and investment opportunities, as well as the performance of investment managers.  This has also given them the ability to monitor ESG strategies, which is a growing area of interest for their clients. More than ever, investors and consultants need up-to-date information and insight to help make informed investment decisions in these challenging times.” 

David Lewis, Co-Head of Manager Research at Barnett Waddingham said, “Barnett Waddingham recently used the CAMRADATA Assisted Search service to establish universes for ESG-related funds so we can add value for our clients. The database has excellent coverage of managers and products, and the information is summarised in useful standard reports.

Particularly convenient is the way CAMRADATA acts as a buffer between us and the investment managers and can answer many of their questions independently. This helps reduce the communication burden when establishing potentially large universes where a significant number of managers are engaging. The help we received throughout was prompt and attentive. CAMRADATA gave useful guidance in how to compose the initial request. We would be happy to use the service in the future.”

CAMRADATA has seen a growth in demand for its assisted searches since the Covid-19 crisis. During Q2 2020, CAMRADATA had 17 Assisted Searches totalling £1.2 billion AUM and Q3 is looking similar.

Amy Richardson concludes, “We have seen a spike in demand for our Assisted Search service, particularly as it offers unique comprehensive qualitative and quantitative information across asset classes for asset owners, on an anonymous basis, which is unavailable elsewhere. This enables institutional investors to find strategies across specific asset classes or for consultants to create buy lists to recommend to their clients.”

For more information on CAMRADATA visit www.camradata.com

Cybersecurity, Insurance, News

Five ways you and your business can keep personal data safe from hackers

New research reveals that nearly half (49%) of UK adults have not installed or didn’t know whether their mobile phone has security software1. So keeping personal data safe from hackers has never been more important.

In the wrong hands, stolen data can be used by hackers for illegal activity such as applying for loans or credit cards under a victim’s name, or bank accounts being accessed and money withdrawn4.

To help keep data safe, leading insurance provider, Insurance2go , shares five ways mobile phone users can help to protect personal data stored on their device.

Be cautious of public Wi-Fi

Using public Wi-Fi is great for those who have a low data allowance, or are running out of mobile data. However, public networks often don’t provide a secure connection, making it easy for hackers to use them to access personal data.

Hackers targeting public Wi-Fi hotspots are able to use what is known as a ‘man-in-the-middle’ attack6, which is when a hacker intercepts financial information, passwords and log-in information through a public network.

Always avoid using mobile banking apps or making online purchases whilst logged onto a public Wi-Fi network. For those who do need to use public Wi-Fi, use a Virtual Private Network (VPN) app. A VPN can protect data from getting into the wrong hands by encrypting online data and keeping personal information secure when using a public Wi-Fi connection6.

Turn off ‘sharing’ settings when not in use

Smartphone features that share a location should be used with caution and always turned off when not in use. Features such as Bluetooth, Wi-Fi, location services, mobile data and Near Field Communication (NFC) are susceptible to hacking, especially Bluetooth location services as they transmit a device’s location and presence.

Hackers can easily get hold of personal information and data through features that mark a phone as ‘visible’5, so always make sure to disable such features when they are not needed.

Only download legitimate apps

Downloading illegitimate apps is another way to open your personal data up to hackers. Often, apps hosted on some websites or third-party app stores can contain malware and can access data once downloaded6. It’s recommended that users only download apps from the official app stores, so App Store for iOS users, Google Play for Android users or the AppGallery for Huawei owners.

Be wary of app permissions

When an app is first downloaded, it often asks for ‘permission’ to access certain features or information held on a mobile phone. From the camera roll, to your speaker, location or phone contact list, apps can ask for a range of permissions in order for certain functions to work.

Be cautious of what information an app is requesting access to and question whether the app actually needs that information. For example, a photo editing app doesn’t need contact list information in order to function correctly, so take the time to properly think about whether or not that information is needed7.

Viral video app, TikTok, recently came under fire for security issues in the US, with reports claiming that the Pentagon warned U.S. military personnel in January to delete TikTok from their phones and India, last month, banned Tik-Tok amongst other apps, over security and privacy concerns10. so it’s always important to review what permissions are being asked for by an app.

Avoid using auto-login

Whilst it’s recommended to have a variety of passwords for online accounts rather than the same password, auto-login gives hackers easy access to personal data by simply opening up an app or webpage. For those likely to forget multiple passwords, note them down in a secure, password protected note on a phone, or in a notebook that is kept secure and stored away.

And it’s not just using your mobile phone that can open your personal data up to hackers. What happens if your mobile phone is lost or stolen? Insurance2go shares some useful tips for people who might find themselves in this scenario and want to keep their personal data safe:

Firstly, report the phone as missing to the network provider, who can suspend or disconnect the service to the phone. This can help stop any authorised use of the phone if it falls into the wrong hands.

If the mobile phone is known to be stolen, inform the police who will be able to provide a crime number, which can be used if the user needs to inform an insurance provider.

Most smartphones now have a built in ‘kill switch’, which can allow a user to remotely deactivate a device if it’s lost or stolen. In order to work, the feature needs to be enabled. For iPhone users, the ‘Activation Lock’ can be enabled within the ‘Find My’ app to help keep data safe. Firstly, go to the ‘Find My’ app > Tap the devices tab and choose which device is lost or stolen, then tap Activate under ‘Mark as Lost’ and follow the prompts on screen. Android users can enable the kill switch with ‘Find My Device’. Go to Settings > Google > Security, then turn on ‘Remotely locate this device’ and ‘Allow remote lock and erase’.

Finally, immediately change passwords for any accounts or apps that can be accessed on the mobile phone. Prioritise any important accounts first, such as online banking and other associated accounts.

Richard Gray, Head of Marketing and Digital, at Insurance2go said: “Our mobile phones are home to lots of stored data and without correctly protecting your personal information, it could easily land in the wrong hands.

“‘SIM-jacking’ is a common method where hackers are able to use stolen data to obtain a Porting Authorisation Code (PAC). This can then be used to switch the victim’s phone number to another phone on another network, helping them gain access to a range of personal data and information, often including banking details.

“Protecting data stored on a mobile phone is extremely important. Hackers are often creating new ways to get a hold of our data, so we hope that by sharing our tips, we can help people avoid getting caught out by fraudsters.”

To find out more about VPNs and how to protect data whilst on a public Wi-Fi, please visit: https://www.Insurance2go .co.uk/about/news-blog/blog/everything-you-ve-ever-wanted-to-know-about-vpns

Benefits, Healthcare, HR News, Insurance, Wellbeing at Work

Aon offers new approach to health insurance through Equipsme

A new, more affordable health insurance is being offered through Aon (NYSE: AON), a leading global professional services firm providing a broad range of risk, retirement and health solutions. Aon is working with Equipsme, a provider ofsimple and practical health plans for businesses, to make health insurance available to thousands more UK employees, particularly important as employers consider their health strategies in light of the COVID-19 pandemic.

Equipsme’s standard cover – for £7 per person per month – includes private physiotherapy appointments in addition to a remote GP service, private prescription delivery and access to online health check and AXA PPP healthcare’s nurse helpline. It offers the same prices for people aged 16-69, whether they are new or existing customers.

Employees can upgrade their level of cover and add family members by paying separately via their own direct debit. These costs, as self-funded, would not attract any P11d and the process also minimises administrative impact on payroll teams.

Aon’s UK Benefits & Trends Survey 2020 revealed that 52% of employers offer fully company funded Private Medical Insurance to all staff, leaving many employees to voluntarily self-fund or have no provision.

David Battle, CEO of Aon’s UK employee benefits division, said:

“For a number of businesses, offering traditional private medical insurance (PMI) as a benefit may only be achievable for senior members of their teams, potentially leaving a significant number of their people without any form of health cover.

“As much as businesses might like to offer a valuable benefit like PMI to all of their employees, some employers will find that this is not financially possible. This new health insurance option provides employers with choice and flexibility, especially important now that COVID-19 is changing the way we live, work and gain health and wellbeing support.”

Every Equipsme plan holder receives an online health check and has 24/7 access to a private GP service as well as physiotherapy. Stress support provided by professional counsellors can be added for £1.50 per employee per month.

Plans can also be upgraded to include private diagnosis and hospital treatment. This is presently delivered as digital triage and direction to in-person treatment if a procedure cannot be safely delayed. As lockdown restrictions ease and private hospitals return to treating non-urgent patients, plan holders will access diagnosis and treatment in person.

Equipsme Founder, Matthew Reed, said:

“Businesses are re-prioritising which employee benefits they offer and why, with a focus on impact and sustainability. We are very pleased that Aon sees the opportunity to help more businesses around the country to deliver a hugely valued benefit to all their team.

“Equipsme’s offer is flexible with practical health support from day one which provides access to professional advice around the clock. We believe that it is going to prove to be a hugely attractive proposition to businesses around the country at a time when remote access to health and wellbeing support is more important than ever with the impacts of COVID-19.”

More info about Aon’s UK Benefits & Trends 2020 Survey

Insurance, News

AXA Partners grows in tech insurance market, in partnership with Summit Insurance Services

AXA Partners UK&I is building on its existing presence within the device insurance market through a new partnership with Summit Insurance Services, under their brand Compucover.

The long-term deal sees the two companies join forces to offer specialist device insurance against both theft and accidental damage. Insurance cover is available for individuals, schools and universities and businesses, with the partnership set to benefit thousands of new and existing Compucover customers.

Compucover is one of the UK’s leading specialist IT insurers, protecting technology investments for more than 25,000 businesses, 5,000 schools and 100 universities.

David Milner, Managing Director at Summit Insurance Services, said: “We are very pleased to be working with AXA Partners and are confident that together we can further expand its presence in the mobile and gadget insurance market.

“We truly believe that our aligned core business values of providing excellent customer service, will enable us to increase our distribution base as the technology sector grows. Together our aim is for more schools, universities, corporates and individuals to benefit from the protection of Compucover.”

Gary Vincent, Sales Director at AXA Partners, commented: “In recent years our reliance on technology has increased, meaning it is now an important part of our everyday lives. Either as an individual user or as a business, we understand that consumers would find it difficult to be without it.

“Protection has always been at our core, therefore, we are delighted to be partnering with Summit Insurance Services under their Compucover brand.

“At AXA Partners we always start with the customer in mind, and this new partnership will ensure that we are able to protect items that matter to thousands of businesses and individuals, as part of our continued expansion in this market.”

This latest partnership with Summit Insurance Services is part of AXA Partners’ continued plans to expand its presence in the mobile and gadget insurance market, by teaming up with innovative brands to deliver value to customers.

Business Investment, Industry News, Insurance, News

Insuring cryptocurrency: Cardiff Bay-based Coincover fuels growth with latest investment round

The cryptocurrency market is heating up with significant growth in 2020 and a new wave of potential crypto investors ready to join in. But there is just one thing keeping them from taking the plunge – a safety net.

Coincover, on the way to becoming the #1 brand in crypto security and specialising in protecting cryptocurrencies held online, announced it has recently closed a growth funding round as it seeks to meet the growing demand from the cryptocurrency market.

The latest seven-figure equity round was led by Insurtech Gateway with co-investment from the Development Bank of Wales.  Coincover is also backed by a business angel syndicate and funding from the Wales Angel Co-investment Fund.

Coincover was founded in 2018 by David Janczewski, who had spent several years leading The UK Royal Mint’s blockchain-enabled digital gold initiative and providing advice to other blockchain projects. Cardiff Bay-based Coincover is now at the leading edge of the nascent digital asset insurance sector estimated to be worth up to $3BN annually already.

Protected by Coincover is fast becoming the way for a business to demonstrate it has fully compliant crypto offering and is fully covered against the risk of its customer investments being lost or stolen by Coincover‘s unique compliance, security and insurance product offering explicitly built for blockchain infrastructure. And by providing Coincover protection direct to their customers, businesses can offer the world’s first way for consumers to take out protection for their investments, attracting more happy customers and creating an additional revenue stream in the process.

David Janczewski said: “Coincover helps crypto businesses to address the security concerns of the cautious investor and delivers the trust mark they need to stand out in a crowded and wary market. We are the only company in the world with a security product that is backed by Lloyds of London, providing protection from cryptocurrency theft at the individual level and an opportunity to maximise business revenue by enabling our partners to build systems that creates strong trust with their clients.”

Richard Chattock, CEO of the lead investor, Insurtech Gateway added: “Digital assets are growing at an exponential rate globally, and represent the next “blue ocean” for insurance and protection. Innovative solutions like those offered by Coincover are reducing the risks and barriers to digital asset adoption, and we were delighted to continue our support.”

David Blake from the Development Bank of Wales’ tech venture team commented: “We are delighted to support the ambitions of Coincover. This Wales-based company is leading its market sector, and the opportunities for international expansion are very exciting.

“We work closely with our colleagues in Angel Invest Wales to support tech-based ventures and attract further investment from co-investors for businesses in Wales. Insuretech Gateway’s support for Coincover is testament to their global growth potential in the cryptocurrency market.”

David Janczewski continued:

“Coincover is removing the last major barrier to the massmarket adoption of cryptocurrencies. We are already partnering with the world’s leading cryptocurrency solution providers to deliver the safest way into cryptocurrency.  In the age of cryptocurrency vulnerability, businesses have to deal with people’s fear of lost or stolen funds.  The platforms and products that offer the strongest safety guarantees and can ensure the security of their users’ funds are the ones that will come out on top in the next few years. Our partners can build a trusted brand as they can offer complete assurance to their customers. We have seen a huge growth in enquiries since COVID-19 lockdowns began around the world. This investment will allow us to meet this demand and fuel exponential growth.”

Insurance, Motoring, News

Vehicle registrations plummet 94% as pandemic takes hold

Vehicle registrations fell by an estimated 94% in April, and 85% in May, compared to the same months last year, according to figures released today by the Department for Transport.

The quarterly Vehicle Licensing Statistics reported 599,000 vehicles were registered in the first quarter of this year, a 30% fall from the first quarter of 2019, resulting in a drop in the total number of licenced vehicles on Britain’s roads – only the second decline in the total number of vehicles on the road since the end of the Second World War.

The figures revealed an 82% decrease in registrations in the last week of March, coinciding with the UK lockdown coming into force and vehicle dealerships and showrooms being required to close, which removed the main method by which new vehicles are sold.

This was followed by 12,340 vehicle registrations in April and 37,100 in May, representing annual drops of 94% and 85% respectively.

However, the number of newly registered ultra-low emission vehicles (ULEVs) shot up to 33,700, an increase of 113% on last year. In contrast, new diesel cars fell by 45% and petrol cars sales were down by 34%.

Responding to the government’s newly published data Greg Wilson, founder of leading car insurance comparison website, Quotezone.co.uk, says:

“It’s not a surprise to learn that the lockdown has had a significant impact on vehicles sales, but the scale of that impact is truly staggering, particularly at the height of the lockdown in April and May.

“It’s also significant that the total number of vehicles on the road fell in the first quarter – the first time that number has fallen since 1991, and only the second time since the end of the Second World War. This is likely to be due to a combination of fewer new vehicles being registered as the lockdown was introduced, and some motorists deciding to SORN their vehicles if they weren’t likely to need them during lockdown.

“It’s also interesting to note the sharp rise in ULEV registrations – given that many electric cars are able to be delivered directly to the buyer, it’s possible this trend was partly driven by the lockdown as well.”

Insurance, News

AXA Partners providing increased peace of mind for customers with new digital claims experience

A new online customer journey has been launched by AXA Partners to manage home emergency claims.

‘Home Manager’ has been developed in response to customer feedback, at a time when digitalisation has never been more important. As a result of significant investment in the build of new customer-facing digital assets, it allows customers to digitally track their claim, giving them increased peace of mind and full transparency throughout the claim journey.

Research by AXAPartners1 shows that, whilst customers prefer to log their claim over the phone, speed of response, ongoing updates and the ability to track their claim digitally is essential.

Once a claim is registered, customers receive a SMS that directs them to Home Manager, where photos of the emergency can be uploaded, appointment times can be accepted or rearranged, and the contractor’s arrival tracked. A summary of the repair is sent once complete, or a new appointment is provided, in instances when parts may be needed.

Kelly Ward, Sales, Marketing & Distribution Director at AXA Partners, commented: “These are exciting, transformational times for AXA Partners. Making lives easier through innovation is integral to business success, and providing services that are digitally accessible has never been more important, especially during this pandemic.

“We recognised that insurers needed to improve the digital experience for their customers, who want to have a transparent and painless relationship with them. They want to be updated every step of the way with detailed information, similarly to how we track the delivery of parcels and goods. So, we developed a solution that is already providing increased peace of mind during what can be a stressful situation, with thousands of customers now using the service.

“Prior to launching Home Manager, we also upgraded our network portal, which was the first stage of our transformation. Partnering with Job logic, we ensured that the new communications solution provided greater functionality, and in turn greater efficiency for our contractors, whilst delivering a seamless customer experience.”

Home Manager and the new contractor portal are part of a major digital transformation at AXA Partners, enabling the company to continue to provide customer centric products and services that address needs, make lives easier and provide digital engagement.

Healthcare News, Insurance, South East

How a Business Supporting Home Workers is Doing Their bit to Save the NHS £5m a Year

As the NHS continues to find itself under increasing strain, and crisis calls are being sent out from all angles, a business from Kent which has a team of over 5000 individuals across the UK has committed to playing its part in keeping them away from the NHS.

Bounce, the UK’s fastest growing insurance referral network, providing work from home opportunities to individuals across the country, has introduced private medical insurance into their benefits package for all active ‘Bouncers’, fully funded by the business.

Founder Ashley Reading, believes the NHS is an institution that needs support, and having been on the receiving end of their tireless work from him, losing both his grandad and his dad in quick succession in recent years, he feels passionately about stepping up to do anything he can to ease the pressure on them. Add to this a founding team member who ‘wouldn’t be here if it wasn’t for the NHS’ and Bounce is a business passionate about supporting our healthcare sys-tem.

Ashley said: “The NHS is overcrowded; NHS staff are overworked. It’s literally on the brink of col-lapse. My team members are scared, they are nervous about getting ill, and fearful for what that can mean for their earning potential. As a business owner with a large network of people who I feel responsible for, I wanted to do what I could to protect them, so our workforce, (fondly called “Bouncers”) will now get the treatment they need, and fast, in the event they should ever need it, without adding to the pressure within the NHS system.”

Founding team member and Group Operations Manager, Katie James, is especially proud to be announcing this additional benefit, having had her life saved on several occasions thanks to the NHS, after being reliant on the healthcare system from the age of 12, thanks to heart and lung deficiencies which led to her having her first transplant at just 15 and a further two kidney trans-plants in more recent years.

She said: ”I absolutely have the NHS to thank for my life, and seeing the panic they are in at the moment is horrible to watch. If we can do just a little to alleviate the pressure on them this makes me feel proud. I am also proud that we are supporting independent entrepreneurs who are keen to generate an extra income, protecting them and their health. I have always worked hard and been fiercely independent and have never let my health issues get in the way of that, so it’s great to be able to provide a service that can help others access support, should they need it, to minimize the impact of any illness”.

As part of their extended benefits package, all qualifying ‘Bouncers’ will get PMI, which sees them being able to get referred to see a private consultant, by using an app; with no need to make an appointment to see their GP and with a choice of which private hospital suits them. The policy also includes mental illness cover, something Ashley believes to be paramount, particu-larly in these uncertain times.

Ashley, who gained his business degree in the USA, and established the business in 2016 having worked for years in the financial services sector said: “The basic principles of our business are all focused around protecting people and I feel that by putting this added benefit in place, we’re going further towards doing that, at a time when both physical and mental health are at huge risk. As it stands, with our existing network, I estimate we can save the NHS around £5million every year and we’re also incentivizing our teams to reach out to others to help them get better protected too.”

Insurance, News

Zurich publishes its UK gender pay gap figures for 2019

Today, insurer Zurich publishes its gender pay gap figures for its UK business for 2019.  Tulsi Naidu, CEO, Zurich UK, was on hand to explain what the figures mean and the work that the insurer is putting in to ensure pay equality in their workplace/

The numbers
Zurich’s mean gender pay gap has improved by 2.1 ppts at 20.7% compared to 22.8% in 2018. Its median pay gap has also improved by 2.4 ppts to 20.2% down from 22.6%.

This progress is reflected in Zurich’s mean bonus gap which has reduced by 3.5 ppts to 48.4% in 2019 down from 51.9% in 2018. Its median bonus gap has also reduced 10.3 ppts from 44.9% to 34.6%.

Analysis
The main reasons for Zurich’s gender pay gap remain linked to fewer women working in senior and technical roles. This also feeds into the bonus gap which is compounded by the fact that the standard calculation used takes no account of part-time working – when most employees choosing this option are women (91% in April 2019).

Action
Zurich is tackling these issues head-on through a series of initiatives. Since April 2019 all new roles are available on a part-time working or job-share basis, to encourage more women with family responsibilities to apply for senior roles. It also carried out a review of the wording of job advertisements and has introduced steps to ensure that all long and short lists are made up of a diverse range of candidates. This followed internal analysis and work with the Behavioural Insights Team[i] on a project that helped identify underlying causes of the gender pay gap and ways to reduce it.

Nine months after launching its part-time jobs initiative, applications from females have increased by over 14% with 50% more women being recruited into senior positions[ii]. These early signs are promising though Zurich’s 2019 data will not reflect the impact of these actions.

In September 2019 Zurich launched a progressive range of family friendly policies including 16 weeks paid parental leave to all new parents, with extra support for carers, those who’ve had premature babies or have gone through IVF. This sits alongside ongoing promotion of flexible working for all. Zurich is also accelerating the development of its existing talent, especially those in the middle of their careers, through detailed succession planning, training programmes, mentoring and senior sponsorship.

Commenting on the data, Zurich’s UK CEO Tulsi Naidu said; “Despite the Government suspending gender pay gap reporting in light of the Coronavirus pandemic, we have taken the decision to publish our data. We think it is important we continue to operate as usual, this is an important topic, our data is ready and we are active on new initiatives to reduce the gap further.

“Our figures show progress and a definite step in the right direction, though we know more work is needed. We’re confident that we’ll make greater strides when we publish next year’s data that should reflect the measures put in place to attract more women into senior roles. We’re looking at how we can tackle pay gaps from every angle – and this will include ethnicity, disability and LGBT in the months ahead. This is part of our aim to make Zurich an attractive place to work, presenting opportunities to the widest possible range of people.”

Further action

Early in Careers programme – we’re encouraging more young women to consider a career with Zurich UK through our Intern, Apprentice and Graduate entry routes. More than half (57%) of our apprenticeship intake in 2019 was female (41% of our graduates).

Youth Skills Programme – inspiring students to consider a career in the insurance industry, currently being extended across schools in all of Zurich’s UK locations. Zurich focuses on schools with higher deprivation indicators (such as above average percentages of students on free school meals) with the objective of reaching students who wouldn’t always have access to such opportunities through friends or family. We have engaged with over 4000 students since beginning this programme in 2016.

Women’s Innovation Network (WIN) – is now in its 5th year with nearly 1000 members in the UK. The network has three areas of focus – Empower, Enable and Engage – and delivers activities to drive all three. This includes the recent launch of a mentoring scheme ‘matchup’ open to all employees.

Inclusive Behaviours’ Pledge – Zurich spearheaded the launch of this industry-wide commitment in 2018, to call out unacceptable behaviour and to create a more inclusive work environment across our sector. Over 120 firms are signed up. Within Zurich we have also rolled out new training and communications entitled ‘Dignity@Work’, to ensure that all employees are clear on their rights and responsibilities regarding inclusion.

Environment, Insurance

Flood insurance expert and Fishlake victim warn thousands could be at risk of ‘losing everything’ due to underinsurance

IN the wake of Storm Ciara, a flood insurance expert and Fishlake flooding victim are warning of the dangers of being underinsured and cautioned that thousands of businesses risk ‘losing everything’ if they are hit.

Chris Jenkins, of Farmers & Mercantile Insurance Brokers (FMIB), and Pam Webb, whose spa business and home were destroyed in the recent Fishlake flooding, are urging business owners to check their insurance policies for flooding exclusions or high excesses for flood damage.

Following the devastating flooding of the Doncaster village, Pam’s distress was compounded when she received a phone call from her insurance broker, to advise her that her policy had a flood exclusion clause and she was therefore not covered for flood.

Chris, who specialises in flood insurance, said that, like Pam, many home and business owners only realise there are exclusions or high excesses for flooding on their policy when it’s too late.

Chris said:

“Complacency could mean thousands of other businesses face the same fate as Pam. The country was hit by a deluge of rain in recent weeks and months, including Storm Ciara at the weekend, causing untold damage and distress.

“In the UK, flood risks are increasing, due largely to the effects of climate change and an increasing population – and this is only going to get worse.

“What many business owners do not realise is that although some protection can be provided for homeowners as part of the government’s Flood RE initiative, this does not apply to commercial businesses. So, whilst flooded homeowners may have some recourse, businesses are at risk at losing everything, if they haven’t got the right protection in place.

“What you tend to find in flood-affected areas, after the first flood, insurers will raise the excess and reduce the cover. At renewal, the business owner will see the price increase and restrictions on cover applied. I’m aware of lots of businesses who don’t have full flood protection as a result, and don’t realise the implications or full impact until they fall victim.”

Pam was one of hundreds of residents of Fishlake who had their homes and businesses destroyed after the nearby River Don over topped its banks in November consequently flooding Fishlake.

The village, which residents claim had not flooded in 100 years, is still reeling from the effects of the flood, with many seeing in the New Year in temporary accommodation and businesses unable to reopen.

Pam, who has lived at her property since 2004, said she always had cover for flooding but last year, on renewal, flood cover was excluded on both her home and business. She received the devastating news that her insurance company would not pay-out and furthermore the insurer was pulling her renewal offer.

Following a visit from Prime Minister Boris Johnson, Pam contacted the PM’s office asking for help, as she had to find a new insurance provider with five days’ notice. The government put her in touch with Chris, due to his extensive experience in the field.

“I was days away from renewal but Chris came down to see me immediately and by the end of the week, I had an insurance policy agreed, which will include flood cover, once repairs are made and a flood resilience plan is in place,” said Pam, who was able to reopen her business earlier this month, using her own resources and with help from the community.

“This is a huge issue that will impact more and more people. Awareness needs to be raised and more needs to be done. People will often go through comparison sites for insurance and get the cheapest quote, but that insurer may not be signed up to Flood RE cover, may have huge excesses, or completely exclude flooding in order to pass on that cheaper price.

“People also need to realise that they are not immune to flooding because they don’t live near a river – my property and business are not near a river and look what happened me.”

Pam has spoken directly to the Minister responsible for regulating insurance and has urged that a review is conducted into this very topic and the huge delays in insurance companies acting which consequently causes further damage to properties and increased claims.

Chris echoed Pam’s sentiments, saying that it is not just areas that have flooded in the past or are located near waterways that are at an increased flood risk.

According to 2019 Environment Agency report, 2.4million properties are at risk from flooding from rivers and seas, whilst three million properties are at risk from surface water flooding.

“As towns get bigger and new developments crop up, we lose grass to absorb rainwater and put additional strain on the drainage system. This means that areas that have never flooded before are at risk,” said Chris.

“I would urge everyone to check their postcode on the government’s long-term flood risk service and sign up for free flood alerts. If you are in an area that is flood exposed, you should think about putting a flood strategy in place and creating a flood resilience plan – and if in doubt about what you are covered for, seek specialist help.”