Monday, 18 December 2023

The Insurance Council of Australia (ICA) has declared a ‘significant event’ for regions of Far North Queensland impacted by severe weather and flooding over the past week, following Tropical Cyclone Jasper.

The ICA's preliminary extreme weather processes have been activated, assisting the ICA and insurers to assess the insurance impact of the current flood event.

Under a significant event declaration:

• The ICA commences its claims data collection, analysis, and reporting processes in consultation with members.
• ICA representatives will continue to work with government and agencies to understand impacts on the community and ensure affected residents receive assistance.

While it’s too early to determine the complete insurance impact on homes and businesses due to the ongoing emergency, this event may be escalated to an insurance catastrophe if there is a significant increase in claim numbers or complexity, if the geographical spread of this event is extended or in consultation with insurers.

The ICA is working with government and agencies to understand impacts on the community and ensure affected residents receive assistance. The impact of flooding has been felt most significantly in communities between Innisfail and Hope Vale, however all regions impacted by flood following Tropical Cyclone Jasper fall under the significant event declaration.

The ICA and member insurers are already taking action to assist customers, with plans to deploy teams to community centres in impacted regions as soon as waters subside, access to land and air transport is restored, and impacted areas are declared safe by emergency services. This will provide impacted customers an opportunity to speak in person with their insurer as they begin their claims process.

This remains an unfolding weather event and insurers’ priority is community safety. We strongly encourage all those impacted to put their safety first and adhere to evacuations orders.

Comment attributable to Kylie Macfarlane, COO, Insurance Council of Australia:

The insurance industry is committed to supporting customers impacted by flooding and storm damage following Tropical Cyclone Jasper. This significant event declaration activates additional services and resources to ensure timely and efficient assistance.

If your property has been impacted, please contact your insurer as soon as possible to commence the claims process, even if you do not know the full extent of damage.

Insurers understand this is a distressing time for policyholders in the lead up to Christmas and will be placing a high priority on claims lodged following this event.

Tuesday, 12 December 2023

The Insurance Council of Australia (ICA) today said insurers are on standby to respond to Cyclone Jasper as the category two system moves towards the Queensland coastline near Cairns.

Disaster response specialists are on standby, and the Insurance Council is liaising with State Government, Queensland Fire and Emergency Services, Queensland Reconstruction Authority, and the National Emergency Management Agency in preparation.

The ICA and insurers have been actively monitoring Cyclone Jasper over the last week, with the Bureau of Meteorology forecasting the cyclone will reach landfall on Wednesday.

While cyclones are inherently unpredictable, Cyclone Jasper is expected to cause extremely strong winds, heavy rain, and storm surge, with severe weather warnings already in place from Cape Melville to Townsville.

In anticipation insurers have already activated their emergency response procedures and stand ready to support and prioritise customers in impacted communities.

Where possible and only if it is safe to do so, communities in the Bureau’s Cyclone Jasper warning region can prepare by:

• Monitoring weather conditions and following advice from emergency services.
• Clearing their property and gutters from loose material that possibly cause injury or damage during extreme winds or heavy rain.
• Securing boats or vehicles and moving their car under cover.
• For more information on safety and preparing for a cyclone, follow Queensland Reconstruction Authority and Queensland Fire and Emergency services.

Quote attributable to ICA CEO Andrew Hall:

The safety and wellbeing of the community is of paramount importance and while it is still too soon to determine the intensity and trajectory of Cyclone Jasper, insurers stand ready to support customers and to help alleviate the stress and uncertainty associated with this event.

Insurers have placed disaster response specialists on standby to move into affected communities and assist customers with claims as needed.

This remains an unfolding and unpredictable weather event and insurers’ priority is community safety. We strongly encourage local communities to monitor weather conditions and listen to emergency services for preparation and evacuation direction.

Image Source: Windy.com

Saturday, 9 November 2023

The Insurance Council of Australia (ICA) is today urging homeowners planning on renting out their properties over the summer holidays to ensure they have the right insurance in place. 

Standard home and contents insurance can exclude coverage for short-term rentals and often separate holiday rental insurance is required. 

Holiday rental insurance is specifically designed for properties that are rented out for a short amount of time, such as holiday homes or homes being rented temporarily on Airbnb or other home stay platforms. 

This type of insurance can protect homeowners from financial losses if something goes wrong, such as accidental damage to property, theft of belongings, or liability claims from guests. 

When choosing a holiday rental insurance policy, the Insurance Council encourages homeowners to read the policy carefully to understand what is and isn’t included. 

Here are some tips for homeowners who are planning to rent out their properties for the holidays: 

• Check their building and contents insurance policy details prior to advertising on short-stay holiday rental platforms. If the policy doesn’t cover short-term rental look for a specialty policy that protects both home and contents while paying guests are staying. 
• Be aware that rental platform’s host protection insurance may not cover all the potential damages you expect. 
• Reduce the risk of theft by removing valuables during the short-term stay. 
• Check strata rules, tenancy agreements, and local council laws because these may prohibit short-stay holiday rental. 

Comment attributable to Andrew Hall, CEO Insurance Council of Australia:  

Embracing short-term rental opportunities can be worthwhile for homeowners, but proper preparation and insurance coverage are essential to mitigate potential risks. 

Before welcoming visitors to stay in your home, talk to your insurer about what is and isn’t covered, and consider specialised coverage for peace of mind.