As part of the response to recent flooding events the Department of Finance is currently undertaking a review of measures to address the availability of flood insurance cover. In broad terms, the review will look at the most cost effective means to address flood insurance problems and will look at the experience and proposals in other countries, including those brought to my attention by the Deputy. In assessing these, care has to be taken that the proposed solutions do not put in place arrangements which, over time, would weaken the provision of insurance cover by the market with possible negative long-term consequences for the economy.
When my Officials have completed the review, I will examine it and report to Cabinet on what measures, if any, are needed to improve the availability of flood insurance cover. Government policy in relation to flooding aims to address the underlying problem through appropriate remedial works where this is economically feasible. The Office of Public Works is committed to alleviating the impact of flooding through the provision of defences based on a comprehensive assessment of flood risk throughout the country and development of flood risk management plans for the areas most at risk under the National Catchment Flood Risk Assessment & Management (CFRAM) Programme.
This commitment is underpinned by a very significant capital works investment programme which will see up to €225 million being spent on flood relief measures over a five year period from 2012 to 2016. Works are completed on a prioritised basis. Once these works are completed the availability of flood insurance in affected areas would be expected to increase.
