PERILS reveals UK flood insurance loss estimate
Insurance losses from the February 2020 floods in the UK are estimated at £297 million, according to Zurich-based catastrophe insurance data provider PERILS.
The floods mainly affected northern England, Wales, and to a lesser extent Northern Ireland and Scotland from February 9 to 29, 2020.
The estimates are based on claims data collected from affected insurance companies.
The February 2020 Floods in the UK were the result of record-breaking rainfall on saturated grounds which led to extensive river flooding. Heavy rainfall was mainly associated with storms of Ciara, Dennis and Jorge. River flooding affected the English regions of West Midlands, North West and Yorkshire and the Humber, as well as Wales and parts of Northern Ireland and Scotland. While an estimated 4800 properties were damaged many other locations were successfully protected by flood defences.
The resulting losses to the insurance industry were the largest for a flood event since the winter floods of December 2015, which cost the industry £1.1 billion at the time.
Combined with the flood losses in November 2019 and losses from the 2019-2020 windstorm season, PERILS estimates that the UK insurance industry suffered a total loss of approximately £650 million from flood- and wind-related events during the 2019-2020 winter period.
In line with PERILS’ reporting schedule, an updated estimate of the market loss from the event will be revealed by May 29, 2020, three months after the event end date.
