asked Her Majesty's Government:

Whether they have assessed the role which the insurance industry is playing in dealing with recent flood damage and, in particular, (a) its share of the financial burden, and (b) its assistance to policy holders and local authorities during the crisis. [HL4753]

Government Ministers met with representatives from the Association of British Insurers (ABI) on 10 July as part of discussions on the insurance industry's role in the response to recent flood damage. The ABI expects that insurance claims arising from this summer's flood events across the UK will reach £1.5 billion.

According to the ABI, 99 per cent of households and businesses have now been visited by loss adjusters. The insurance industry has assured the Government that its priority is to ensure that those who cannot remain in their homes have appropriate temporary accommodation and that as many businesses as possible are able to continue activities during this recovery period. Insurers are also making provision for early payments to help to deal with immediate hardship.

The Government and the ABI have agreed to maintain discussions on this issue to ensure that any ongoing or further concerns are resolved quickly.