Tue, 24th Jun 2025

In this week's insurance wrap-up, Paige Estritori discusses key issues shaping Australia's insurance landscape. The Australian Financial Complaints Authority ordered an insurer to cover a disputed storm claim, highlighting the need for clear policy language. Aon's Climate and Catastrophe Insight Report shows Australia's catastrophe losses are at their lowest since 2004, but warns that high insurance premiums persist due to underinsurance and climate risks. A recent report by the Climate Change Authority warns that nearly 600,000 homes may become uninsurable within five years due to environmental hazards, leading to potential action costs of $8.7 billion by 2050 if no significant measures are taken. Lastly, Southern Cross insurance's dispute over a claim due to military unrest illustrates the implications of the insurance industry's war and violence exclusion clause.