Has anyone herd that cgu insurance are going down?

Question

with all the floods and rain they must be finding it hard does this reflect on they custermers in there claims or finding it hard

Answer 1

Well, flood insurance wouldn't be covered by a homeowners or renters policy anyway so that wouldn't matter.  If you want to know the financial prospects for CGU, just go to AMBest.com & look them up.  They are now called OneBeacon (in the US anyway).

Answer 2

nope.

All insurance companies are 're-insured' through other companies.  in other words, an insurance company has a pool of money they pay claims from.  if they run out of money, the insurer puts a claim in through their OWN insurance company to cover the balance.  

flood damage is not covered on each and every insurance policy either.  some insurance policies EXCLUDE flood damage.  i'm not sure if CGU covers flood, but it is defined as "water overflowing from a natural watersource - such as a river or dam" - not simply a heavy downpour.

during periods of high claims (such as large storm events) most insurers are inundated with claims - it's not uncommon for assessors to be flown from other states to assist with damages.  so, the service you get may suffer due to staffing issues.

Answer 3

In 2000 CGU and Norwich Union agreed a £19bn merger, creating the UK's biggest insurance group.

UK homeowners policies, do indeed, cover flood. The insurance industry says claims related to flood damage will total £1.5bn. However, I have not seen any speculation that CGU is in financial trouble.

An agreement with the government means cover should continue to be offered to homeowners even if they live in flood risk areas.

Malcolm Tarling from the Association of British Insurers has warned that if homes are built on flood plains, the government must provide adequate flood defences.

He said: "The rising risk of flooding means that homes should not be built on the floodplain.

"If they are, and there are no - or inadequate - flood defences in place, then home insurance may be difficult to get or more expensive."