Insurance companies are “ripping people off” by “indiscriminately increasing premiums” for those who live in the vicinity of flooded areas.
This is the view of Independent Galway West TD Noel Grealish. He says a number of insurance companies have hiked premiums for people living within a one kilometre radius of recently flooded areas.
“These people have now been deemed as living in an a high flood risk area, even though many of them may be at no risk at all of being flooded,” said Dep Grealish.
He said this issue must be tackled as it could leave people “in a position where they cannot afford to pay home insurance at all”. He has vowed to raise the matter with the Tánaiste and Minister for Enterprise Mary Coughlan, who has responsibility for the insurance industry.
Dep Grealish has proposed that a one per cent levy should be placed on all homeowners, similar to the one that applies on motor insurance premiums, which would indemnify flood victims, who can not get insurance, against flooding recurring.
“This would be a fair and equitable way of dealing with this problem and would not penalise people indiscriminately,” said Dep Grealish.
The proposal is currently being considered by the Government.
