The commitment applies to all existing Halifax, Bank of Scotland and Intelligent Finance mortgage customers who have held their buildings or contents insurance with the Group since before 31st December 2002 — the date when the industry wide agreement with the Government expired. Today's announcement by the Halifax covers the following points:
* The Halifax flood guarantee, first announced in 2002 and originally applicable until the end of 2005, has been extended by a further 3 years until 31st December 2008.
* The Halifax will also extend its pricing commitment. Any premium changes due to flood risk will amount to no more than 5% per annum over and above the normal annual increase in premiums across the total Halifax insurance portfolio.
* Our customers who invest in new floodskirt technology will receive a 20% discount on their annual premium.
* If the floodskirt is installed and subsequently used to prevent flooding, customers will be 'rewarded' by the Halifax with a cash payment of £2,000.
* Customers of Halifax General Insurance can receive a free flood survey as well as free flood advice and guidance.
* Customers who have suffered flood damage will be able to benefit from discounts negotiated by the Halifax if they opt to repair their property with resistant building materials e.g. water resistant plaster, raised electrical sockets, timber kitchen units, waterproof rendering etc.
Commenting, Howard Posner, Chief Executive Officer at Halifax General Insurance, said:
"Our customers who live in areas at risk of flooding need to know that we will stand by them in times of trouble — today's announcement gives our customers real peace of mind."
"More and more banks and building societies as well as insurance companies are turning their backs on their own customers. Halifax General Insurance is not only extending its unique flood guarantee, but we are also giving our customers a real incentive and cash reward for protecting their homes from flooding."