Australian insurers are increasing claims capacity and on-the-ground support in response to severe flooding in Queensland and the Northern Territory, following Significant Event declarations by the Insurance Council of Australia (ICA) and an initial rise in property and motor claims.
On March 12, the ICA declared two Significant Events for recent flood activity:
The council said insurers have started to receive claims from both jurisdictions and expects volumes to rise as access improves and more policyholders return to their properties. It remains too early to estimate the overall insured loss from the events. A Significant Event declaration activates industry-wide processes, including catastrophe claims data collection, real-time monitoring of claims volumes and emerging trends, engagement with federal, state, and territory governments, and liaison with emergency services and recovery agencies.
The ICA said community safety remains the primary consideration, with claims handling to ramp up as conditions allow. ICA chief executive Andrew Hall linked the current events to longer-term resilience issues. “Communities in the NT and along the Queensland Coast have long lived with flood risk, but the gap between what’s been built to protect them and what’s needed remains far too wide. These events are another reminder that all levels of government must invest in resilience before disaster strikes, not just recovery after the damage is done,” Hall said.
IAG reported 359 claims across its brands – NRMA Insurance, RACQ Insurance, CGU, WFI Insurance, and Rollin’ – as of March 11 in connection with the Queensland weather system. The group has deployed claims teams and property assessors into affected areas. Prolonged rainfall has pushed river systems higher in parts of the state, but IAG executive manager flood, bushfire, and climate Andrew Dyer said peak levels have passed Bundaberg.
According to Dyer, the Burnett River fell below the major flood threshold late Wednesday afternoon after peaking earlier that day. “The river is currently falling after peaking in Bundaberg on Wednesday morning, although it remained lower than the 2010 and 2013 flood levels. However, a Not Safe to Return warning remains in place for parts of Bundaberg as floodwaters continue to recede,” Dyer said. He also pointed to ongoing risk in other communities, noting an emergency warning for Chinchilla and advising residents in low-lying areas to prepare for major flooding in Charleys Creek. Dyer said residents should follow local emergency service directions and monitor information from local media.
IAG executive general manager claims Luke Gallagher said the insurer is sending staff into the region and working with recovery centres. “We’ve mobilised our claims teams to impacted areas, with our property assessing teams already on the ground surveying damage,” he said. He encouraged customers to contact their insurer via digital channels, phone, or in person as soon as they are able, and not to return to evacuated homes until authorities advise it is safe. For those starting clean-up, IAG has reiterated standard claims guidance: record damage with photographs or video, keep samples of building materials and fabrics for assessors, remove water- or mud-damaged items that may present health risks, and speak with their insurer before authorising any building or repair work.
QBE has also adjusted its resourcing in response to the NT and Queensland floods, increasing call centre capacity and emphasising early claims lodgement for customers. In an announcement, QBE said: “We’re working hard to support our customers impacted by recent severe rainfall and flooding across the Northern Territory and Queensland. We have additional team members ready to take your calls and help lodge claims. If you need to make a claim, please contact us as soon as you’re safe and able to do so.”
Customers insured directly with QBE are being directed to call 133 QBE (133 723) or use online lodgement channels. Policyholders whose cover is arranged through an intermediary or financial institution are being asked to lodge through those parties. QBE said assessors and trades will enter affected areas only after emergency services confirm it is safe, but early notification allows claim files to be opened and initial assistance arranged, including “make safe” repairs, temporary accommodation, and emergency cash payments where appropriate.
The insurer has restated key safety and risk controls, including following emergency services’ instructions, not driving through flood-affected roads, returning to properties only when authorities give clearance, and treating any water-affected electrical equipment and fallen power lines as potentially dangerous until inspected. QBE has recommended that customers document damage with photos or video to support claims and discard items that may present health risks, while retaining safe samples of materials where possible. It has also advised against driving vehicles that may be structurally or mechanically compromised by water ingress and warned customers to be cautious about unsolicited approaches regarding repairs or claims management, urging them to contact QBE directly to confirm that any work is authorised.
As floodwaters recede in some locations and peak in others, insurers anticipate further increases in claims across home, contents, motor, and commercial lines. The ICA has indicated it will continue to provide aggregated claims updates and maintain engagement with governments on immediate recovery arrangements and medium-term resilience and mitigation measures. The event is expected to influence flood-risk pricing, product design, reinsurance programs, and customer communication in exposed regions, and to contribute to ongoing discussions about mitigation investment and land-use planning in flood-prone communities.
