Michael McGrath (Cork South Central, Fianna Fail)
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220. To ask the Minister for Public Expenditure and Reform the extent of information sharing between the OPW and insurance companies in respect of flood risk; his views on the practice of insurance companies denying flood cover to households at which no flooding has taken place; his plans to address the issue; and if he will make a statement on the matter. [23629/18]

Kevin Moran (Longford-Westmeath, Independent)
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While the Office of Public Works (OPW) has no responsibility for oversight or regulation of the insurance industry in relation to flood risk insurance, or to insurance matters generally, the OPW has a very specific role in the exchange of information with the insurance industry in relation to completed flood defence schemes.

On 24th March 2014, the OPW agreed a Memorandum of Understanding with Insurance Ireland, the representative body for insurance companies in Ireland. This Memorandum of Understanding sets out the principles of how the two organisations work together to ensure that appropriate and relevant information on completed flood relief schemes is provided to insurance companies to facilitate, to the greatest extent possible, the availability of insurance against the risk of flooding.

The Memorandum notes the requirement for insurance companies when assessing exposure to flood risk to take full account of information provided by the OPW on completed flood defence schemes. Under this Memorandum of Understanding, Insurance Ireland provides the OPW with details of the level of policies that include flood risk insurance within the benefitting areas of these schemes.

The initial tranche of data provided by the OPW to Insurance Ireland in 2014 covered twelve completed flood defence schemes; showing the design, extent and nature of the protections offered by these works. Details of a further five schemes were provided in January 2015 and details of the Waterford Flood Defence Scheme were shared last year.

Since the initial tranche of data provided by the OPW, Insurance Ireland has completed four surveys of its members to assess the level of flood insurance in benefitting areas. The most recent returns highlights that 83% of policies issued for residences and small businesses include flood risk insurance cover, with 90% of policies having flood cover in those areas protected by permanent flood defences.

The Department of Finance has responsibility for Government policy on flood insurance. In late 2016, the Minister for Finance prepared a report on policy options to support flood insurance. This was considered by Government that agreed to continue with its policy of flood insurance cover being returned through Government investment in flood relief schemes.

Under the Memorandum the Department of Finance, Insurance Ireland and my officials meet with the insurance sector quarterly. I am satisfied that in relation to the role of the OPW, my officials will continue to work with Insurance Ireland on this matter to ensure that the insurance industry has the required knowledge with regard to OPW flood defence schemes to facilitate, to the greatest extent possible, the availability of insurance against the risk of flooding.