Care homes risk being driven to the wall by an £80million rise in insurance costs due to Covid-19. One provider was shocked by quotes costing 880% more after his existing insurer refused to continue its cover.
St Cecilia’s Care Group’s three homes in Scarborough, North Yorks, were paying £10,000 a year for cover. But when owner Mike Padgham tried to renew, he was quoted £98,000.
He finally managed to settle for a premium of £18,000 – 80% more. Mr Padgham, who is chairman of the Independent Care Group representing homes nationwide, said: “Our previous insurer, like many others, has stopped offering cover to care providers because they say they are too risky. “Those that are offering cover are charging huge premiums because of the risk