Pitt report to highlight insurers’ shortcomings

by Gill Montia

Story link: Pitt report to highlight insurers’ shortcomings

The insurance sector is bracing itself for Sir Michael Pitt’s report on the flooding of summer 2007.

It is understood that the document will contain serious criticisms of the insurance industry and could propose a radical review of the way in which home contents and buildings insurance works, with proposals for the development of new types of policies that cover entire communities.

In addition, the report is expected to recommend that the government and insurance industry jointly fund research into flood damage and discover new means of drying out homes at greater speed.

It is also known that Sir Michael is not satisfied with the level of take-up of home insurance in flood prone areas and will be recommending a major advertising campaign to increase it.

An interim report on last summer’s floods was published in December of last year and Sir Michael has since called for society to take flooding and natural hazards more seriously.

The final report is due to be published this summer.