Britain’s largest insurance firms have warned that the climate crisis has contributed to driving up insurance payouts to the highest level in seven years, after a sharp rise in damage to households and businesses from weather events.
Figures from the Association of British Insurers (ABI) show that the amount paid out in the three months to the end of June hit £1.4bn, a 5% increase on the first quarter of the year and the highest figure of any quarter since it started collecting the data in 2017.
The industry trade body said the increase was largely driven by a leap in weather-related claims, as payouts for damage to UK homes from storms, heavy rain and frozen pipes hit £144m.
It is calling on the government to do more to reduce the country’s vulnerability to the impacts of the climate crisis, after weather-related claims cost the industry more than £100m for a fifth consecutive quarter.