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Insurers who saw claims rise substantially after the recent flooding can apply either to increase premiums or to refuse to cover completely, property expert and insurance warned

Speaking at a Summit of the industry, Bill Gloyn, a partner of Jardine Lloyd Thompson and Chairman of the Committee of the British property Federation insurance brokers said delegates: "flood is a catastrophic risk... If coverage is not available - and it is already the case in some parts of the United Kingdom - consequences are almost too scary to contemplate." Widespread violations of the agreement will lead to chaos and a potential collapse of the commercial and residential property - market.

"Without insurance there is no mortgage." Without mortgages, it did y no market real estate.

Extension of an agreement between the insurance industry and Government to ensure the majority of homes at risk of flooding, which ends in 2013, depends on the Government continues its previously proposed flood defence work programme.

The Chancellor of the Exchequer, George Osborne, affected only 500 m ￡ per year through 2011 to 2015 flood defences. It is a reduction of 216 million pounds sterling and significantly lower total recommended Environment Agency of ￡ billion per year by 2035 to maintain the number of homes currently protected.

Anne McIntosh MP, Chairman of the influential environment, food and the Rural Affairs Select Committee says that it is vital to discuss a "issues concerning floods, such as insurance defense and floods, expenditures, in the hope of awareness more flooding owners, owners and tenants both and possible getting questions relating to increasing resilience and lowering property insurance in the form of a green Deal on the political agenda.

The British property Federation argued for continued investment in flood defences to meet future risks and also for insurers to take more into account measures taken by the owners and households that reduce the threat of flooding their property.

Liz Peace, Executive Director of the FPB, stated: "the devastation caused by the floods in 2007 and even in Cornwall as a matter of weeks, are still fresh in the memory." -Commercial and household - owners should be aware of the risks and to investigate the measures that they can take to protect their assets. ?

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