Bad weather 'may push up insurance rates'

UK insurers have forked out millions of pounds in recent months to cover the damaged caused by what is now known to have been the coldest UK winter in three decades.

According to the Association of British Insurers, the cold snap of December and January saw insurance providers paying out £194 million to cover damage caused to some 60,200 homes.

As a result of this, Steve Foulsham, technical services manager for the British Insurance Brokers' Association, has warned that insurance providers may push up their rates.

"Once we know all the figures it wouldn't surprise me one little bit if it leads to some sort of rate hikes in the market, because of the sheer volume of claims," he warned.

However, Britons looking for flats to rent in the London borough of Hammersmith and Fulham or elsewhere in the capital may not have to worry about finding the money to fork out for buildings insurance, as this will most likely be covered by their landlord.

And with property prices in the city so high, this could be just one other way in which renting is so much cheaper than buying a London property.

Written by Charles Mackay

Published 12th March, 2010

© 2010 Estates IT Limited