Posted on July 5, 2013
According to the German trade association GDV, it is anticipated that the cost to insurers, following the flooding in Germany last month, will be somewhere in the region of 2 billion euros. In southern Germany the Danube rose to its highest level in 500 years and in Eastern Germany the Elbe flooded and burst a dam.
Losses could have been considerably worse if a series of projects to improve flood defences had not been undertaken after major floods in 2002. The individual state governments in Germany are responsible for flood protection, but in some cases local opposition to some of the projects has delayed implementation. There is a suggestion that control by the Federal Government might be required to ensure a more structured approach to managing flood risks for the future.
It is also understood that many of the flood victims will have been underinsured or uninsured. After the floods of 2002 the cost of insurance in some areas where cover was still available became prohibitive, pricing people out of the market.
|Year||Number of flood claims||Cost to Insurers|
|2013||180,000||€2 billion (Estimate)|
Should you have any concerns regarding flood coverage for your portfolio in Germany, Pii have expertise in this area and can provide a solution.
Please contact Sandy Mooneeapen on 0207 321 5655 or 07772 439833 or e-mail [email protected].