Australia’s insurers were hit with almost $3.5 billion in extreme weather losses in 2025, after 264,000 claims were lodged across a bruising run of floods, cyclones and destructive storms, new figures from the Insurance Council of Australia (ICA) show.
The ICA data points to a year defined by repeated high-impact events, including five that were formally declared significant or catastrophic by the Council: the North Queensland Floods in February, Ex-Tropical Cyclone Alfred in March, the Mid North Coast floods in May, and two Severe Storm events in October and November.
The single biggest bill came from Ex-Tropical Cyclone Alfred, which triggered 132,000 claims and more than $1.5 billion in insured losses. But the spring storm season ran a close second, with a relentless five-week stretch of hail and severe weather in October and November racking up more than $1.4 billion in losses.
First, the Severe Spring Storms that swept through South-East Queensland and Northern NSW from late October into early November generated $601 million across 35,500 claims.
Then, late November delivered another punch: fresh rounds of severe storms and hail across the two states drove 70,200 claims and $814 million in insured losses. Combined, the two spring events totalled $1.4 billion.
The ICA said there were other damaging but more localised incidents during the year, including flooding in Western Queensland, storms in Casterton and Harden, and bushfires in Halls Gap. Those smaller events are not included in these figures. Insurers also expect more claims are still to come, meaning the final 2025 cost is likely to rise.
The contrast with recent years is stark. In 2024, insured losses from extreme weather totalled $581 million, while 2023 recorded $2.35 billion—an annual swing the ICA says underlines how unpredictable Australia’s disaster bill can be.
On the ground, the Insurance Council says it coordinated three Insurance Hubs in the immediate aftermath of events, along with 13 community consultation sessions, to help affected residents navigate claims and recovery.
The extreme weather story has already rolled into 2026: the first weeks of the year have brought major activity, from bushfires in Victoria to monsoonal weather in North Queensland. Insurers say they are prioritising claims linked to those events, with many maintaining a strong on-the-ground presence across parts of Victoria.
CAT Code Event name Impacted regions Event dates Claims count Claims incurred
SE251 North Queensland floods North Queensland 29/01/25 – 12/02/25 11,700 $304 million
CAT252 Ex-Tropical Cyclone Alfred Queensland, Northern NSW 28/02/25 - 11/03/25 132,000 $1.5 billion
CAT253 Mid North Coast and Hunter floods Mid North Coast and Hunter 17/05/25 - 24/05/25 14,500 $266 million
SE254 Severe Spring Storms South East Queensland, Northern NSW 26/10/25 – 02/11/25 35,500 $601 million
CAT255 QLD & NSW Severe Storms and Hail All Qld, NSW 20/11/25 – 27/11/25 70,200 $814 million
Total 264,000 $3.49 billion
Data source: ICA
