Insured damages creep past Cdn$1 billion in UK floods

Initial estimates by Risk Management Solutions (RMS) suggest insured losses from recent floods that continue to batter the United Kingdom could exceed 500 million [Cdn$1.06 billion]. The rainfall situation, caused by a stationary east coast depression that draws moisture from the North Sea, is similar to the Norwich flood of 1912, an RMS statement says.It has been described as a one-in-a-one-hundred year event and historical records indicate that this was the first time that the River Don has burst its banks with such dramatic consequences for 150 years, the release says.The extent of further insured losses will depend on whether the rain forecasted in the coming days falls directly over the areas already hit. Currently, the event is not as severe as the autumn 2000 floods which affected more than 10,000 properties and caused 925 million [approximately Cdn$1.96 billion] in todays value of insured loss. However, the floods are ongoing and further rainfall is expected over the weekend, which may worsen the situation.The severe and widespread flooding, hitting northeast England the hardest, already appears to have eclipsed the 1998 floods, which damaged approximately 3,000 properties and resulted in 190 million [approximately Cdn$403 million] in todays value of insured loss.