Homeowners face hefty clear-up costs after storm havoc

Andy Leadbetter, Head of Motor and Home Insurance

As homeowners recover from the storms that raged across the UK, many will be assuming that repairs for any damage will be covered by their home insurance.

However, thousands will be left counting the cost as they discover they don't have the protection they need.

Research from Sainsbury's Bank revealed that 1.78million homeowners are without buildings insurance while a further 656,000 do not know whether they have the cover or not.

To make matters worse, those who are covered, could see their premiums leap as a result of their claim.

Repairing the damage from last year's floods has already cost insurers more than £3billion. As a result, many home insurance premiums have already increased and they could rise further following the latest bout of storms. Those in the worst-affected areas, such as the South West, may see premiums surge by as much as 40%.

What should homeowners do?
The threat of higher premiums shouldn't put you off making a claim, although it is worth assessing the extent of the damage as you may decide it's not worth it if the repair costs are reasonable.

You also need to check your policy details to see whether you are eligible to claim. Not all insurers cover storm damage and of those that do, most exclude garden gates and fences.

The Financial Ombudsman Service said it has seen an increase in the number of complaints from homeowners who have had insurance claims rejected. Reasons include no evidence of a storm in that location at the said time and poor state of repair.

Buildings insurance does not cover wear and tear so if tiles came off your roof during a storm, but it was already in need of attention because it was in a bad state of repair, a loss adjuster may well turn down the claim.

You therefore need to check the details of your policy carefully. If you believe you are covered, contact your insurer as soon as possible. Take photos of any spoilt items as it may assist with settling the claim. You should also keep any ruined property as the provider may wish to inspect it. And keep any other evidence that may support your claim. For example, if the damage occurred because of localised weather conditions, look to see if there is any reference to it in a local paper or on the internet. If there is keep, or print out a copy as this could help if the insurer does doubt your story.

If you have had immediate repairs carried out, keep a receipt of the work as the insurer will want to see it.

How does the claims process work?
Once you have checked your policy documents to ensure you are covered for the damage to your home, ask your insurer for a claim form. Complete it and return it with an estimate of the cost for repairs or replacements.

It's vital to be honest at this point. Making a false claim to your insurer is likely to invalidate your policy. If you're unsure of what the estimates should be you can contact a loss assessor. However, bear in mind that many insurance companies are wary of loss assessors as they work on a commission basis - the more money they recover, the more they are paid. As a consequence you may prefer to contact the insurer and ask it to send out its own loss adjuster.

If you need a loss assessor, the Institute of Public Loss will help you find one in your area.

How can you prepare for future storms?
The most important step you can take is to keep your home insurance policy up-to-date and adequate. If you're not happy with the level of cover your existing insurer offers, or the size of its premium, then shop around.

The home insurance market is competitive despite average quoted premiums leaping by 1.4% to £218.60 for an annual policy in the last quarter, according to AA insurance. That is because providers are still competing for business through comparison tools and there are many attractive deals available to new customers.

Halifax, for example, offers a 35% discount on home and buildings cover purchased online while Barclays carries a £50 cashback deal.

However, prevention is always better than cure - and there are several steps you can take to avoid future claims from floods or windstorms including:

Ensure your property is kept in a good state of repair.
Clear gutters of rubbish, dirt and leaves.
Check pipes for leaks, especially during winter.
Keep a stock of sandbags if your area is prone to flooding. Visit the Environmental Agency website to find out if you live in a flood risk area.
Move plug sockets higher up the walls so they are above the likely water level in the event of a flood.
If you live in an area prone to flooding, attach floor skirts and barriers to doors, windows and airbricks. These are permanently fixed to the building but need to be pulled or slid into position when there is a risk of flooding.
Have a plan as to where you can move downstairs furniture to in the event of a flood.
Secure outside objects which may be hazardous in severe winds such as garden furniture and barbecues.
Check that external light fittings are secure.
Keep a home emergency kit - this could include items such as a battery powered radio, your insurance documents, warm blankets and clothing, tinned food and spare bulbs.