Spike in Weather-Related Insurance Claims During Summer Revealed

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

Evidently, the summer became a difficult season for many Australians, with nearly half witnessing extreme climatic conditions. Record-breaking heatwaves, powerful storms, and persistent cyclones made their mark. Homes were significantly affected, with 13,817 insurance claims made, of which the majority were connected to harsh weather phenomena stemming from heated, moist air masses leading to torrential rains and catastrophic hail.

As the seasons transition, NRMA Insurance anticipates the incidence of intense thunderstorms equipped with considerable hail, torrential downpours, and fierce gales targeting the east coast. Metereologist Zac Segger from NRMA Insurance notes the heightened susceptibility of areas in southeast Queensland, eastern New South Wales, and eastern Victoria to these formidable weather patterns.

Segger highlighted the sudden and sometimes catastrophic emergence of wild weather, emphasizing the substantial damage it can impart in a remarkably short span of time. High-impact summer events included the likes of Cyclone Jasper and various subsequent storms and heatwaves, alongside bushfires primarily in Western Australia, marking Perth’s third hottest recorded summer season.

Natalie Major, EM Claims from NRMA Insurance, points to a study encompassing 3500 Australians, revealing that a mere 40% took preemptive actions to secure their homes against extreme weather episodes in the previous year. She stresses the importance of proactive measures such as clearing debris, cleaning gutters, pruning trees, and executing vital repairs to enhance resilience against severe climate events.

The wild summer weather instigated a sharp rise in claims within New South Wales for NRMA Insurance, soaring from spring's 3200 to 11,213, with 59% linked to severe weather impacts. The Hunter Valley, Central West, Baulkham Hills, Sydney, and Hawkesbury were among the predominantly affected zones.

Queensland too bore its share of adverse weather, reflected by a substantial hike in claims to 5110 from the preceding 383 in spring, with the Gold Coast facing the brunt, accompanied by Logan-Beaudesert and Wide Bay regions.

In the Australian Capital Territory, the numbers were equally telling, with claims amounting to 1954 related to home and motor issues caused by harsh weather, a dramatic upturn from the prior spring's 188.

Both individuals and communities are impelled to remain vigilant and prepared as these climate trends and patterns evolve, reinforcing the necessary precautions to mitigate damage and ensure safety.

Published:Wednesday, 27th Mar 2024
Author: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

Share this news item:

Insurance News

Clear

Significant Decline in Australian Commercial Insurance Rates

25 Mar 2026: Paige Estritori

In the final quarter of 2025, Australian commercial insurance rates experienced a substantial decline of 12%, marking the most significant drop among the eight regions monitored by Marsh Risk's Global Insurance Market Index. This trend reflects a broader pattern of decreasing rates that began in early 2024, with the Pacific region, predominantly Australia, leading the way. - read more

Human Factors Dominate Causes of Major Truck Crashes in Australia

25 Mar 2026: Paige Estritori

The National Truck Accident Research Centre's 2025 Major Incident Investigation Report, supported by NTI, has identified human error as the predominant cause of major truck crashes in Australia. The report indicates that factors such as inattention, distraction, and inappropriate speed account for a significant proportion of these incidents. - read more

ASIC Launches Review into Motor Insurance Pricing Practices

25 Mar 2026: Paige Estritori

The Australian Securities and Investments Commission (ASIC) has initiated a comprehensive review into the accuracy and transparency of motor insurance pricing among major insurers, covering approximately two-thirds of the car insurance market. This investigation aims to ensure that insurers comply with legal disclosure requirements and provide clear explanations for premium calculations. - read more

AIA Australia's Latest Enhancements to Priority Protection Insurance

24 Mar 2026: Paige Estritori

AIA Australia has recently updated its Priority Protection life insurance suite, introducing changes designed to simplify discounts, enhance policy clarity, and support premium affordability. These enhancements, effective from 9 November 2025, reflect AIA's commitment to providing value-driven solutions for policyholders. - read more

Australia's Life Insurance Coverage Falls Short of Global Standards

24 Mar 2026: Paige Estritori

Recent findings from a survey conducted by Zurich and the University of Oxford reveal that Australia has one of the lowest life insurance penetration rates globally. The study indicates that only 27% of Australians have income protection insurance, and 25% possess life insurance coverage. These figures are notably lower than the global averages of 33% for income protection and 32% for life insurance. - read more

Click for more Insurance News