Six months after the summer riots, insurers have paid out on 80% of household claims and 70% of those from businesses.

By Charlotte Beugge

The summer riots that plagued the UK last summer resulted in a huge number of claims on insurance policies, according to an update six months on by the Association of British Insurers (ABI).

Eight in ten claims for damage under household policies have been settled. In addition, more than 70% of businesses have seen their claims for property damage settled, or have received interim payments.

Most of the outstanding claims are from larger, complex commercial claims and may include the cost of business interruption which makes them harder to assess.

Some claims may be delayed because sites were declared crime scenes for a significant time after the riots. The ABI says that most of the smaller property damage claims for homes and smaller businesses have been settled.

Nick Starling, the ABI's director of general insurance, said: "Insurers responded swiftly to the summer riots, providing help and assistance to customers, and have settled many claims, including over eight in ten claims for damage under household policies.

"Over seven in ten businesses have seen their claims for property damage settled, or have received interim payments."

At the time of the riots last August the insurance industry forecast that claims would rise to £200 million. Some of those who were not insured claimed costs from the police authorities under the 1886 Riot (Damages) Act.