ABI: Insurers pay out £650 million to help customers weather the coldest winter in thirty years

Thursday, 11 March 2010 12:00 AM

Insurers paid out £650 million in dealing with 335,000 claims from customers, who had suffered damage to their homes, businesses and vehicles following the coldest winter in thirty years, according to figures published today by the ABI.

During the heavy snow and freezing temperatures that gripped Britain during December 2009 and January this year, insurers paid out:

. £395 million to insured motorists. Many of the 268,400 motor insurance claims were for accidental damage as motorists struggled on slippery roads.
. £255 million to homeowners and business customers for property damage. The 66,600 claims was double the number of weather damage claims insurers would normally expect to see during the period. Of these, the majority - 60,200 - involved homes, at a cost of £194 million. A typical claim involved roof damage caused by the snow.

Nick Starling, the ABI's Director of General Insurance and Health, said:

"Insurers will always respond quickly to the large number of claims that often result from bad weather. From dealing with snow damaged roofs, burst pipes, to repairing or replacing vehicles damaged by treacherous driving conditions, insurers helped their customers get through the snow and the freezing temperatures. Insurers have paid out nearly £1 billion to customers following bad weather this winter, as the heavy snow came weeks after the flooding in Cumbria, which led to insurers paying out £200 million in flood claims."

- ENDS -

Notes for Editors

1. Enquiries to:
Nicholas Burke 020 7216 7392 (Mobile: 07725 245 841)
Malcolm Tarling 020 7216 7410 (Mobile: 07776 147 667)
Erfan Hussain 020 7216 7411 (Mobile: 07712 841 184)
Kelly Ostler-Coyle 020 7216 7415 (Mobile: 07968 364 302)

2. The number and cost of these snow-related claims relates to the period 18 December 2009 - 13 January 2010.

3. The ABI is the voice of the insurance and investment industry. Its members constitute over 90 per cent of the insurance market in the UK and 20 per cent across the EU. They control assets equivalent to a quarter of the UK's capital. They are the risk managers of the UK's economy and society. Through the ABI their voice is heard in Government and in public debate on insurance, savings and investment matters.

4. An ISDN line is available for broadcasts.

5. More news and information from the ABI is available on our web site, www.abi.org.uk.

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