The Prudential Authority and Financial Conduct Authority have formally confirmed that authorisation of Flood Re will be effective on 1 April.
The £2.1 billion multi-year reinsurance programme is designed to help provide better access to affordable flood insurance cover. It will go live on 4 April.
The three-year reinsurance programme is one of the five largest natural peril reinsurance deals struck globally and the second biggest in Europe, according to Flood Re.
Flood Re, over a period of time, expects up to 350,000 households to benefit from the scheme.
Brendan McCafferty, chief executive of Flood Re, said: “I am delighted that we now have authorisation from the regulators. The Flood Re team is continuing to work hard with insurers ahead of launch.”
“From 4 April, Flood Re will be live and ready to accept policies. A list of insurers that will be using the scheme will be available on the Flood Re website from the evening of 1 April.”
The programme is a first in the UK for reinsurance cover under European Public Procurement regulations. It was conducted with the assistance of reinsurance broker Guy Carpenter.
