Australia’s insurance industry has activated incident response protocols following the severe weather events that impacted Southeast Queensland and Northern New South Wales this week.
The hailstorm that impacted Southeast Queensland and Northern New South Wales produced ice pellets of significant size, with measurements ranging from eight to 13 centimetres across the most affected zones. A concentrated damage corridor extended from Logan Village through Burbank to Manly, where the largest hailstones and most substantial structural damage occurred. Associated wind phenomena reached considerable velocities, with readings of 120 kilometres per hour documented at Gladstone and 107 kilometres per hour at Brisbane Airport. The broader Brisbane metropolitan area, Gold Coast, and Sunshine Coast regions experienced widespread power outages affecting more than 100,000 properties.
The Insurance Council of Australia (ICA) has formally classified the Nov. 23 and 24 weather system affecting Southeast Queensland as an Insurance Catastrophe, designating it CAT 255. Within the first reporting period, claim volumes exceeded 16,000 submissions across more than 140 postcodes in the affected regions. While Northern New South Wales also experienced significant hail damage and claim activity, that jurisdiction did not receive a formal catastrophe declaration.
According to meteorological analysis conducted by Suncorp Group, the atmospheric conditions that produced this event mirrored patterns observed during two significant historical weather occurrences. “The largest hailstones and most substantial impacts occurred along a corridor from Logan Village through Burbank and Manly, where highly dense and spherical hailstones between eight and 13 centimetres were observed,” said Andrew Bufalino, Suncorp’s severe weather meteorologist, who characterised the event as comparable to the 2008 Gap Storm and 2014 Brisbane Hailstorm in terms of meteorological patterns.
Major insurers have undertaken immediate operational changes to address the high volume of claims. Suncorp reported receiving 6,890 claims across both Southeast Queensland and Northern New South Wales by midday on Nov. 24, with 3,060 relating to residential property and 3,700 relating to motor vehicles. The geographical concentration of claims centred on specific postcodes including Beenleigh, Shailer Park, Manly West, Cornubia, Capalaba, Loganholme, Keperra, Wynnum, Birkdale, and Alexandra Hills.
IAG – through its portfolio of brands including NRMA Insurance, CGU, WFI, and ROLLiN’ – activated its Event Command Centre to coordinate assessment and repair activities across multiple weather events. The organisation deployed monitoring systems that identify affected properties and support emergency stabilisation work. Luke Gallagher, IAG executive general manager of claims, said: “The Major Event Response team is closely monitoring these weather systems and coordinating on-the-ground teams to mobilise and support impacted communities, and overseeing Emergency Make-Safe repairs.”
Insurance industry officials expect the claims volume to increase as utility services are restored to affected regions. Kylie Macfarlane, deputy chief executive officer of the ICA, indicated that estimates of the total insured loss remain preliminary. She said: “Our advice to impacted policyholders is to lodge a claim as soon as you can, even if you don’t yet know the full extent of the damage.” She noted that online claim submission portals facilitate faster processing than traditional methods.
Suncorp noted the operational challenges presented by the high volume of concurrent claims. Cath Stewart, acting executive general manager home claims customers, said: “Our team is working hard to respond to every customer as quickly as possible. We understand how stressful this time is for everyone affected, and we appreciate your patience and understanding while we work through the high number of claims received in such a short period.”
The motor insurance sector is also experiencing high claim activity, with hail damage claims potentially reaching into five figures per vehicle. Industry analysis from iSelect indicates that repair costs for hail damage range from several hundred dollars for glazing replacement to in excess of $10,000 for comprehensive repair, with total loss declarations possible for vehicles with extensive damage. Adrian Bennett, general manager – general insurance at iSelect, said: “As severe storms continue to sweep across parts of Australia, many drivers have already experienced the destructive impact of giant hail, from shattered windscreens to panels scattered with dents.”
Insurance professionals should anticipate increased claim volumes across motor portfolios and property portfolios throughout the claims cycle. Loss adjusters at Crawford Australia projected sustained claim intake over an extended period, noting that water ingress claims would accompany direct hail impact claims and that commercial lines would likely experience business interruption and access prevention claims. Jonathan Hubbard, president of Crawford Australia, said: “Our teams are actively assisting clients and working closely with local authorities to support recovery efforts. While it is too early to estimate the full extent of the losses, our immediate focus remains on helping affected communities restore their properties and get back on their feet as quickly and safely as possible. We will continue to monitor the situation and provide updates as more information becomes available.”
