The planners dilemma - local councils can’t hit their building targets for new homes, so where do they go? 

For years and years all we have seen is despair from families affected by adverse weather, rising water levels, rivers that have burst their banks - meaning business, livelihoods and animals homeless and displaced for weeks & months.  A horrific, yet all too familiar sight.  We clean up, Insurance companies and communities alike spring into action and what follows is months and months of drying up and re-building.

So to see this actively taking place feel counter intuitive to me!  While the houses may be affordable, will the associated costs including Insurnace be equally affordable?  Not just today but after the first flood too!  Will the property appreciate at the same rate as other properties not on a flood zone!.

However, is the challenge equally a big opportunity to change the game here?

If they do continue this path, perhaps this is the first we see of properties sold with embedded Home and possibly Contents insurance.  Taking the worry away from the residents and a further providing confidence the properties built, are built to last and withstand any such event.  In some instances, this will need to extend to business and motor products too, it's all possible!

To be fair, I think this is the route Insurance will go regardless for all homes rented or purchased going forward.  The same for motor, we have seen it start already. 

Our Insurance is something that's just there which we will chose and have the option to swap, upgrade etc - but we will all get a level of cover.  There are of course regulatory challenges here, ensuring everyone is treated fairly and given a good and appropriate deal for their specific needs!

What's your take here?

1. Don't build here at all? (my initial reaction)

2. Just build and worry about it later? Sell standard cover and let people muddle through

3. Find a new business model and way to solve the insurance gap giving people confidence in the scheme?