Insurance companies are being urged to improve their policies when it comes to flood disasters says Queensland Premier Anna Bligh.

Companies are also being asked to be more flexible in relation to the claims filed for flood damage of which majority or a good 76 percent of the claims are connected to property damage and the rest motor vehicle damages. The flood waters spared nothing, all areas from posh riverside properties to warehouses were hit.

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Most policyholders presume that the damages incurred during the Queensland flood will be covered by their insurance companies. However, the Insurance Council of Australia said that not all policies will be able to accept claims for the type of devastating flood that hit the state.

"It's hard to believe that Australia can't do better than this. When you see the scale of this and understand the havoc and heartache this has brought, it is hard to believe we can't find a better system," Bligh she told the Weekend Sunrise program."There are some big policy questions out of this. Now we've got the immediate response dealt with we can start to look at those big issues."

So far, an estimated 7,000 insurance claims have been filed worth about $365 million not including claims for Toowoomba and Brisbane regions.

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