Insurers see 107% rise in claims as floods worsen

insurance ICA

2 March 2022
| By Laura Dew |
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The Insurance Council of Australia (ICA) has received almost 31,000 claims in relation to the flood emergency in Queensland and New South Wales.

This was a 107% increase in claims made the previous day and meant the ICA had declared a catastrophe.

This definition meant:

  • Claims from affected policyholders were given priority by insurers;
  • Claims were triaged to direct urgent assistance to the worst-affected property owners;
  • An industry taskforce had been established to identify and address issues arising from this extreme weather event;
  • ICA representatives will be mobilised to work with local agencies and services and affected policyholders as soon as emergency services say it is safe to do so; and
  • Insurers will mobilise disaster response specialists to assist affected customers with claims and assessments as soon as emergency services say it is safe to do so.

However, it said it was “too soon to provide an estimate of claims costs” as the events were still unfolding.

Andrew Hall, chief executive of ICA, said: “This is still a large-scale unfolding event across two states with significant increases in claim numbers, and we expect this to continue to climb as people are allowed to return to their homes and businesses.

“I want to be clear that following the 2011 Brisbane floods insurance policies now have standard flood definitions, and if policyholders have selected that cover this will include water that is released from a dam.”

Claims reported chart

 

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