During this period, the number of claims related to declared extreme weather events decreased by 7%, from 163,400 claims in the previous year to 154,100 in 2024-25. The declared events included one cyclone and two floods, compared to one cyclone and three storm events in the prior year. The most significant events were the North Queensland Floods ($289 million), Ex-Tropical Cyclone Alfred ($1.43 billion), and the Mid North Coast and Hunter floods ($248 million).
Australia has consistently ranked second globally for extreme weather losses over the past 45 years, behind only the United States. This reduction in insured losses is a positive development, suggesting that mitigation efforts and improved preparedness may be yielding results.
For real estate professionals, this trend is encouraging, as it may lead to more stable insurance premiums and increased availability of coverage options. However, it's essential to remain vigilant and continue implementing risk management strategies to protect properties and assets from potential future natural disasters.
Real estate agents and agency owners should stay informed about regional risks and ensure that their insurance policies are up-to-date and provide adequate coverage. Engaging with insurance brokers to discuss tailored solutions can help in navigating the complexities of insurance in a changing climate landscape.
