Mr. Paul Kavanagh:

As a broker with over 32 years' experience on the flood plains of west and north County Cork and Cork city, I have built up a strong database of knowledge on the flooding issue and, indeed, was myself flooded in Fermoy over 20 years ago. The house in question has changed hands a few times over the years but it has been denied flood cover despite the fact that it has not been flooded since that occasion. It is on the south side of the River Blackwater and the flood defence work currently being carried out by the OPW will not be complete there until 2014. However, although work is completed on phase one on the north side of the river, its twin house on that side is also being denied flood cover. This is a major issue. I appreciate how much the Government is spending via the OPW on flood works in Clonmel, Mallow, Fermoy and, as announced last week, Skibbereen.

That is to be welcomed. However, pressure must be put on the insurance companies to talk to the OPW and form an opinion as to when and how we can again provide flood cover for the premises concerned, for which protections have been put in place.

At a meeting of this committee two weeks ago, the IIF reported it had been in consultation with the OPW. I noticed that this has been the case only since January 2013. The works have been in place for the past four or five years. There needs to be constant and meaningful dialogue, and it needs to be published. We need to know what is going on.

Another major issue concerns the flood victims, those who have been left behind. Some 95% of them are left without flood cover. Those with cover may have their premiums quadrupled. The householder is left in a perilous situation in which he cannot afford to pay for house insurance, with or without flood cover. This is a very dangerous set of circumstances. We have a moral obligation to help those people who are left stranded.

My job in recent times has been to help the victims of flooding in Cork. We are trying to get them flood insurance. If we cannot do so, we will try to get them cover excluding flood cover so they can maintain their mortgages. There is pressure being put on the victims by the banks. Once the houses have been flooded, they cannot be sold. The value of the house drops dramatically. One cannot buy or sell in the area, and subsidence is another issue of concern. Cork city is probably more prone to the latter than anywhere else. There are now areas in Cork city that have been doubly hit with subsidence and flooding. One cannot buy the houses; they are worthless. We cannot insure them and our hands are tied. The insurance companies have all acted together and will not provide flood cover, subsidence cover or a combination of both in the areas in question.

The Irish Brokers Association, of which I am a member, carried out a survey of all its members in the Twenty-six Counties and combined the information with available insurance company statistics, only to discover that there are between 40,000 and 50,000 properties, at least, without flood cover. We are trying to put a figure on it. The figure was denied in this room by the IIF two weeks ago. At the same time, it also denied that any insurer was taking an action against the ESB in Cork. We understand quite clearly that there is a case for hearing this autumn by a leading insurance company for damage caused by the release of water from the Inniscarra dam in Cork. We are getting incorrect information and not getting the full story. It is incumbent on this committee to get to the bottom of this and release its findings. If the IIF had said the matter was sub judice, I could accept it, but I cannot accept it has no knowledge of its members taking actions against Cork City Council in respect of occurrences in Douglas or against the ESB for the flooding it caused.

There are uninsurable houses in the Lee Valley and there are business premises that are uninsurable. There are those who want to open businesses in the areas affected but we cannot obtain flood cover for them. They cannot get funding from the banks until we produce flood cover.