Build Back Better: A Strategic Opportunity for More Resilient Home Insurance

Published On : 16 Oct 2025

To help UK homes manage costs, Flood Re launched Build Back Better (BBB) in 2022. A joint initiative between the UK Government and the insurance industry, the scheme provides UK homeowners with up to £10,000 for flood resilience measures when repairing their homes after a flood, in addition to covering the cost of the flood repairs.

By committing to this initiative, insurers that are including BBB in their policies are ensuring homeowners can better protect themselves from growing and reoccurring flood risks.

How does the BBB scheme benefit homeowners?
Homeowners purchase home insurance in the usual way. In the event of a flood claim, their insurer manages the claim and completes the repair work. The BBB scheme funds the provision of surveying and installing flood resilience measures, so that homeowners can have greater protection against future floods, delivering peace of mind and long-term flood solutions.

Overcoming relocation stress
While flooding can have severe economic implications, it also places substantial, long-term emotional pressure on homeowners, which is often overlooked.

Floods can significantly damage the ground floor of homes, impacting belongings and potentially making the space uninhabitable. Drying out a property can take several months and repairs can only begin once that process is complete.

During this time, homeowners are forced to relocate to temporary accommodation, leaving behind damaged possessions — some of which may be lost forever. They also have to navigate a complex claims process involving brokers, insurers and loss adjusters to repair and reinstate their homes.

With BBB's funds, homeowners can install flood resilience measures and reduce the severity of future damage. As a result, in the event of a flood, repairs may be quicker, and in some cases, homeowners may not need to leave their homes or spend far less time in temporary accommodation.

Enhanced protection against future floods
Without BBB, flood-damaged homes are repaired on a reinstatement like-for-like basis, without considering or enhancing their ability to withstand future floods. Home insurance policies that include BBB give homeowners access to funding not just for repairs after the event, but also for upgrading their property with flood protection measures without incurring any additional financial burden.

With the BBB scheme, homeowners can take advantage of a range of suitable flood assistance, including the following:
• Surveys to identify flood risks and potential mitigation strategies
• Flood barriers on doors or the installation of flood-resistant doors
• Waterproof tiling for flooring to reduce water damage
• Raised electrical sockets and non-return valves to minimise electrical hazards
• Waterproof membrane on walls to block water penetration
• Non-return valves on drains to stop floodwater from entering the property
• Adapting a property’s outdoor space to increase flood resilience

Time to take advantage of BBB
As the climate becomes more unpredictable, the UK is reassessing how it manages exposure to extreme weather-related risks. In 2024 alone, insurers paid a record of £585 million for weather-related damage to homes and possessions .

Flooding in the UK: A growing concern
According to the UK Government, over 4.6 million UK properties are at risk of surface water flooding . Increasing weather extremes are a key driver of surface water flooding, such as periods of drought followed by sudden, intense rainfall. For instance, the lack of rain in many parts of the UK in June 2025 resulted in dry, compacted soil, reducing its ability to absorb excess rainfall and increasing the risk of flash floods.

The BBB scheme offers a proactive response to the growing flood risk. In addition to addressing dangers in areas known to be at risk, the scheme helps manage the increasing threat of surface water flooding — a trend that is now affecting regions previously considered to have a low flood risk.

Mitigating the effects of recurring floods
The impact of flooding on property can take weeks or even months to repair, not to mention the significant emotional and financial burden involved.

Leo Downes, Head of Household and Personal Lines at Pen Underwriting, explained, "By choosing an insurer that offers BBB, homeowners benefit from a claims process that not only repairs damage but also helps prevent future flooding. This approach reduces the risk of repeat losses and contributes to creating safer, more flood resilient communities across the UK.”

A game-changer for the insurance industry

With its unique offering, BBB means homeowners can build flood resilience, while insurers demonstrate their commitment to a household insurance market that demands innovation, accountability and customer-focused solutions.

Did you know that our mid-net-worth and non-standard home insurance policies are now available through the BBB scheme?

For more information, contact our specialist home insurance experts.