The bushfires burning through New South Wales (NSW), Queensland, South Australia and Victoria have driven more than 6,000 insurance claims since September 5th, 2019, according to the Insurance Council of Australia (ICA).
Credit: EPA
Insurance and reinsurance claims from the bushfires burning through parts of Australia are continuing to rise, with the ICA now stating that insurance losses are estimated at AUD 431 million (USD 300 million) this bushfire season.
Last week, analysts at insurance and reinsurance broker Aon said that insurance claims from this season’s bushfires had reached USD 207 million, with local news reporting that this could rise to as much as AUD 600 million (USD 419 million).
Rob Whelan, Chief Executive Officer (CEO) of the ICA, said: “The ICA will reassure the government that insurers have been and will continue to focus on helping customers who have been affected by this year’s devastating bushfires. The industry is well resourced to carry out repair and rebuilding work in partnership and collaboration with the community, governments and regulators, the building and construction sector and suppliers.
“Insurers will discuss all aspects of recovery, from assessments and property clean-up to rebuilding. They will also offer their expertise in assisting all levels of government with developing a national response.”
The latest news reports from the region note that rain has fallen on parts of the country hit by the blazes, but officials have warned that fires will “take off” again as temperatures are expected to rise by Thursday.
Furthermore, officials warned that large fires in Victoria and NSW could meet and create a “mega blaze”.
“For the past four months, insurers have been working with bushfire-affected householders, business owners and communities to help them recover and rebuild their lives. Australia is in the midst of a bushfire crisis, and insurers are helping their customers at a time of immense financial, physical and emotional stress,” said Whelan.
Adding: “Emergency response teams are helping customers process claims and access emergency assistance in dozens of local communities. This past weekend alone more than 60 staff attended the evacuation centre in Melbourne to talk to evacuees about their needs. Insurers have booked hundreds of hotel and motel rooms and are providing emergency accommodation and financial assistance to many customers.
“And assessors have been mobilised from all over Australia and New Zealand to help examine properties in fire-affected regions as soon as it’s safe to enter them. Work has already begun to rebuild properties affected by bushfires at the beginning of this season and insurers will continue to prioritise these claims to assist these customers as soon as possible.
“Due to the large number of disasters that Australia has experienced over recent years, insurers have developed extensive expertise in helping communities recover from natural disasters. All claims are being prioritised.”
The New South Wales Rural Fire Service currently estimates that 1,298 homes have been destroyed by bushfires in the state this season, with another 442 damaged. Around 85 facilities have also been destroyed, with another 89 damaged, as well as 2,218 outbuildings destroyed and 937 damaged on farms.
