There's a scamble to find firework cover as insurers run scared from bonfire night.

Working Lunch viewers are trying frantically to find companies which will provide public liability policies.

The insurance protects organisers against claims for injuries sustained as a result of negligence.

Youth clubs, allotment associations and village committees have been contacting the programme, saying that their firework displays are under threat.

Premiums hike

Premiums have risen by a huge margin since last year.

One village was quoted �300 for its display after paying �60 last time. Another saw the price go up from �50 to �861.

John Portwood, a broker specialising in firework insurance has axed his normal range of policies, replacing them with a single option, starting at �800 for a display.

"There are plenty of enquiries," he says. "But no one can afford it."

Insurex: inundated

The insurance underwriter in his case, Insurex Expo-Sure, believes it is one of only three companies in the UK which is still willing to offer cover for bonfire night.

"We are getting a lot of calls from people who then find the price too much for them," says Insurex's Paul James. "We're also getting calls from competitors who have run out of capacity, so we're inundated."

Limited options

The collapse of Independent Insurance last year removed one of the main insurers of this type of risk. Other companies have been frightened off by the rising cost of claims.

Three weeks ago Working Lunch highlighted the case of Karen Moore from Lidlington near Milton Keynes who thought she would have to cancel her village display.

She won a reprieve when Co-operative Insurance Services (CIS) agreed to cover the event for �30 only. But since then the Co-op has told us that it will only insure customers who have other policies with it.

A few displays can take advantage of existing insurance cover: if the event is on school land, for instance, or if it is organised through the parish council.

Alternatively, if the display is going to be held in a private garden, cover might be provided under the owner's home insurance policy.

But it's clear that many displays are simply being abandoned.

Strikes

The firefighters' strike is another complicating factor this year.

The majority of claims aren't from fireworks

Some displays scheduled for 2nd November are being moved to other dates to avoid the disruption.

The strikes will be a significant factor for events which have cancellation insurance.

But they are unlikely to make much difference to liability cover - most liability claims arise because of tripping and slipping.