Household market to return to profitability in 2008, says report

Household insurers suffered an estimated loss of more than £300m in 2007 due to the severe flooding experienced in the summer, according to a new report by Datamonitor.

The report found that the June and July floods have cost insurers approximately £3bn, and when added to the claims made throughout the year for theft, fire and subsidence, Datamonitor estimated that gross household insurance claims costs were in excess of £4bn.

The company said the bill for primary insurers would be enough to drag