Perils pegs southeast Australia flood insured loss at A$965mn in final estimate
Perils has estimated the insured losses from flooding in southeast Australia in October last year at A$965mn ($612mn), in its fourth and final tally.
This has risen by 6% since Perils published its third estimate in April of A$907mn. The estimate covers property and motor losses, with property contributing 91% to the total.
The event mainly impacted Victoria (84% of the total industry loss) and New South Wales (12%), with lesser effects in Tasmania, Queensland and South Australia.
The flooding struck during 12-18 October 2022, when a series of low-pressure systems brought heavy rain to southeast Australia. The rainfall broke historical records in some areas and caused pluvial and riverine flooding.
This event primarily impacted rural regions with relatively low-value concentrations of property, unlike the record-breaking March 2022 flood event in eastern Australia, which caused more than A$6bn in losses.
Perils CEO Luzi Hitz said: “Australia has recently moved into an El Niño phase with drier and warmer conditions expected during the upcoming summer.
“Notwithstanding, the release of this final loss report is a timely reminder of the devastating flooding that has occurred across many regions in Australia during the recent La Niña phase. There is now a wealth of Perils Australia flood loss data available which presents a real opportunity for the insurance industry to continue to improve its understanding of flood risk.”