Flood Re was launched in 2016 as a joint initiative between the government and the insurance industry to ensure that householders living in flood-risk areas can obtain affordable buildings and contents insurance. Under Flood Re, insurers can cede (pass) the flood risk element of a home insurance policy to the Flood Re pool at a fixed premium, reducing the insurer's exposure and allowing them to offer affordable cover to high-risk homeowners. The scheme is funded by a levy on all home insurers.
The critical exclusion for landlords is that Flood Re explicitly does not cover leasehold properties, buy-to-let properties, or properties built after 1 January 2009 (to avoid incentivising development in flood plains). A landlord whose rental property is in a high flood-risk zone cannot benefit from Flood Re. Instead, they must find a specialist commercial or landlord insurer willing to underwrite the flood risk directly — often at a significantly higher premium, sometimes with flood excluded altogether.
Why buy-to-let properties are excluded from Flood Re
The Flood Re exclusion of buy-to-let properties is deliberate policy, not an oversight:
- Policy rationale: Flood Re was designed to protect owner-occupiers — primarily those who purchased their home before the extent of the flood risk became fully apparent. Buy-to-let landlords are treated as commercial investors who have made a commercial decision to invest in property and are expected to price flood risk into their acquisition decision
- Leasehold exclusion: Flood Re does not cover leasehold properties (flats), regardless of whether they are owner-occupied or tenanted. The rationale is that leasehold buildings insurance is the freeholder's responsibility — the freeholder should obtain specialist cover
- Post-2009 exclusion: Properties built after 1 January 2009 are excluded from Flood Re because planning policy (PPS25/NPPF) should have prevented their construction in high flood-risk areas. Any post-2009 property in a flood zone therefore carries a policy risk that the regulator does not want to socialise
- From 2039, Flood Re is scheduled to transition to risk-reflective pricing for all policyholders — meaning flood insurance will increasingly reflect actual flood risk rather than being subsidised through the pool. Landlords in flood-risk areas should plan for this transition now
Finding flood insurance for buy-to-let properties
Landlords with flood-risk properties must access the specialist insurance market:
- Specialist landlord insurers: A small number of specialist insurers — including Aviva, RSA, and specialist Managing General Agents (MGAs) — will underwrite flood risk for buy-to-let properties at commercially priced premiums. These are accessed through specialist landlord insurance brokers rather than through standard comparison sites
- Commercial property insurers: Some commercial property insurers will include flood cover for residential investment property as part of a commercial policy. The premium will be significantly higher than a standard home insurance policy and may include a per-event excess of £5,000-£50,000 for flood claims
- Flood exclusion with separate flood policy: Where mainstream insurers will not include flood cover, they may offer a policy with flood excluded. The landlord can then attempt to source standalone flood cover from a specialist. This is complex and expensive but may be the only option for the highest-risk properties
- Flood risk assessment to negotiate cover: Commissioning a professional flood risk assessment (by a civil/drainage engineer) may help demonstrate that the specific property has a lower flood risk than the Environment Agency flood map implies — for example, where the property is elevated above the flood plain or is protected by flood defences. Insurers may use this to offer improved terms
- Excess as a proxy for uninsurability: Where flood cover is available but with a very high excess (e.g., £25,000+), the cover is effectively only useful for catastrophic flood losses. The landlord effectively self-insures for smaller flood events. This is a legitimate but risky strategy
Flood risk assessment and disclosure obligations
Landlords have specific disclosure obligations relating to flood risk:
- Material fact disclosure to insurer: A landlord must disclose all material facts to their insurer, including any knowledge of previous flooding at the property or in the immediate area. Failure to disclose known flood history can void the policy
- No direct obligation to disclose to tenants: There is currently no statutory obligation on landlords in England to disclose flood risk to prospective tenants before granting a tenancy. However, non-disclosure of a known, material defect may be relevant to claims under the Consumer Rights Act 2015 (unfair terms) or the common law implied covenant of quiet enjoyment
- Environment Agency flood map: All prospective landlords should check the Environment Agency's free online Flood Map for Planning before acquiring a property. Properties in Flood Zone 2 or 3 face the highest risk. The map can be checked at the Environment Agency's website
- Awaab's Law (2026) — habitability: From 2026, Awaab's Law requires landlords to investigate and remediate hazards (including flood-related damp and structural damage) within prescribed timeframes. A property that floods repeatedly may become uninhabitable under these provisions, creating an obligation to decant tenants and repair
- Mortgage lender requirements: Most buy-to-let mortgage lenders require the property to be insured against all standard risks, including flood (where reasonably available). A lender may decline to lend on a property in a very high flood-risk area, or may require specialist flood cover as a mortgage condition
What to do after a flood — landlord obligations
When a rental property floods, the landlord has immediate legal and practical obligations:
- Notify the insurer immediately: Flood damage claims are time-sensitive. Notify the insurer as soon as the flood occurs. Most policies require prompt notification. Do not carry out repair work that destroys evidence of the damage until the insurer has appointed a loss adjuster
- Make the property safe: The landlord must take reasonable steps to make the property safe — boarding windows, isolating electricity, removing water — to prevent further damage and injury. Most policies include a first response or emergency assistance clause
- Decanting tenants: Where the property is uninhabitable following a flood, the landlord is not automatically obliged to provide alternative accommodation — this depends on the terms of the tenancy agreement and whether the insurer's policy covers alternative accommodation costs (some landlord policies include this as a benefit)
- Rent abatement: Where a property is uninhabitable, the tenant's obligation to pay rent may be suspended under the common law principle that rent is payable only for habitable premises. Where the tenancy agreement contains a 'rent suspension' clause triggered by insured damage, the landlord can recover lost rental income from the insurer
- Professional drying and remediation: Flood-damaged properties must be dried thoroughly (typically 3-6 months) before redecorating. Inadequate drying leads to persistent damp, mould, and structural damage — and may trigger Awaab's Law obligations if mould becomes a category 1 HHSRS hazard
Flood resilience measures — reducing risk and premium
Landlords in flood-risk areas can take proactive steps to reduce both flood damage and insurance costs:
- Property flood resilience (PFR) measures: Installing PFR measures — flood doors, airbrick covers, non-return valves on drainage, raising electrical sockets above flood level — can significantly reduce the damage from a flooding event. Insurers may offer reduced excesses or premiums for properties with certified PFR measures
- CIRIA Code of Practice on Property Flood Resilience: The industry standard for PFR is CIRIA C790 (2017). Commissioning a PFR survey and implementing recommended measures before seeking insurance renewal can materially improve the insurer's assessment
- Flood risk grants: Some local authorities and the Environment Agency offer grants for property flood resilience measures in high-risk areas. These are available to landlords as well as owner-occupiers. Check the Environment Agency's 'Flood defence grant in aid' scheme
- Flood Re's 'Build Back Better' scheme: Although landlords cannot access Flood Re insurance, the 'Build Back Better' provisions (from 2022) may apply where a landlord's home (not the buy-to-let) is insured under Flood Re — the insurer pays up to £10,000 extra above the claim value to install PFR measures. This does not apply to BTL properties directly, but demonstrates the available technology
- The long-term viability of owning property in very high flood-risk areas is increasingly in question. Landlords acquiring such properties should model the long-term total cost of ownership including rising insurance premiums, periodic flood damage costs, and potential loss of mortgageability as lenders reassess climate risk
Frequently asked questions
Is my buy-to-let property covered by Flood Re?+
No. Flood Re explicitly excludes buy-to-let properties (and leasehold properties and properties built after 2009). Landlords must find specialist commercial or landlord insurers willing to underwrite flood risk directly — typically at significantly higher premiums, sometimes with flood excluded entirely.
Do I have to tell my tenants if the property is in a flood risk area?+
There is currently no statutory obligation in England to disclose flood risk to prospective tenants. However, knowingly concealing a material risk may be relevant to claims under the Consumer Rights Act 2015 or common law. Best practice is to check the Environment Agency flood map before purchase and consider disclosing the flood risk zone to tenants.
What are my obligations if a rental property floods?+
Notify your insurer immediately. Make the property safe (isolate electricity, board broken windows). Where the property is uninhabitable, the tenant's rent obligation may be suspended. Where your policy includes rent guarantee or alternative accommodation cover, claim these. Under Awaab's Law (from 2026), persistent damp and mould arising from inadequate flood remediation must be addressed within prescribed timeframes.
Can I get flood insurance if my rental property has flooded before?+
Previous flooding makes cover harder to obtain and more expensive — and failure to disclose previous flood history to your insurer voids the policy. You may need to approach specialist landlord insurance brokers, commission a professional flood risk assessment to demonstrate current risk mitigation, and be prepared for high excesses. For the highest-risk properties, flood may be excluded from cover entirely.