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RLA Concerned about Flood Re

Flooded houseLarge swathes of the country were decimated by flooding over the Christmas period and many homes were devastated. As a result of the damage, the Department for Flood and Rural Affairs has been consulting on how they should best tackle the issue.

 

 

 

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Rental Homes Excluded
The government’s Flood Re scheme comes into effect next month but, unfortunately for landlords, homes in the private rental sector are excluded. The Residential Landlords Association is concerned that once the Flood Re scheme comes into force, landlords and tenants won’t be able to get insurance cover.

RLA issues a Statement
A statement issued by the RLA says: “As floods happen more and more often the situation is worsening. We are firmly convinced that that once we move into the new era of Flood Re more and more private landlords and those in other excluded groups will find it impossible, very difficult or costly to obtain the necessary flood coverage.”

The people in charge of the Flood Re scheme dispute this. They say that landlords and tenants in the private rental sector have access to insurance, but the RLA disagrees.

“The Government’s rationale is that these groups who are excluded can still obtain cover in the open market. We dispute this, but in any event the ability of private landlords and other affected groups to obtain cover in the market on reasonable terms, or even cover at all will diminish, in our view, once Flood Re is introduced.”