No public-private insurance in the event of damage caused by flooding, river or sea

The government has decided not to insure damage caused by flooding of primary flood defences, the major rivers and lakes such as the Meuse, the IJsselmeer or the sea through public-private insurance. The reason given by the government in the letter to the House of Representatives is that the disadvantages of such an insurance construction do not outweigh its advantages. The government does see a possible role for insurers in claims settlement through the one-stop shop function of insurers.

The Association would have liked to explore the public-private insurance solution further, but certainly sees opportunities in the elaboration of the one-stop shop direction. With this solution, the own insurer is the first point of contact for the consumer. The experienced employees of the (non-life) insurer settle the flood damage from a single point of contact, according to fixed working agreements and in a way that is understandable to a citizen.

The Ministry of Justice and Security, the Ministries of Infrastructure and Water Management and Finance and the Dutch Association of Insurers are starting a further exploration of:

• the form and scope of the cooperation with insurers based on the "one-stop-shop" concept,
• the legal (including privacy-technical) considerations,
• the financial and organisational framework conditions,
• the critical success factors, the risks and the added value for victims.

The results of this exploration are expected to be available in the first quarter of 2025.