Western Australia’s latest heatwave is moving south towards Perth as authorities promote a welfare check system and insurers continue to process rising bushfire claims in Victoria. Temperatures in the Pilbara and Gascoyne have been in the mid-40s for about a week, with the hot air mass forecast to extend further south over coming days. The Bureau of Meteorology (BoM) expects Perth to reach 39 degrees on Jan. 20 and 21 before conditions moderate later in the week.
Bureau forecaster Angus Hines said some regional centres will record higher temperatures than the capital as the heat spreads. “Geraldton … stands out with a 46-degree forecast. That heat is spreading down to Perth – 39 degrees in the capital, maybe 40 or higher for some eastern suburbs. It’s also going to be really hot up in the North West of the state … for example, Exmouth is 40 degrees, but if you drive an hour inland, it could be closer to 48 or 49 degrees,” Hines said, as reported by The Sydney Morning Herald (SMH).
The bureau has warned of severe to extreme heatwave conditions for locations including Carnarvon, Coral Bay, Denham, Geraldton, Gingin, Kalbarri, Marble Bar, Newman, Paraburdoo, and Yanchep over the next few days. For insurers, the event reinforces exposure to heat-related health impacts, infrastructure stress, and potential property losses that sit alongside bushfire, storm, and flood risks already modelled in Australian catastrophe programs.
In response to the conditions, the Western Australian government is promoting TeleRedi, a telephone-based welfare check service for residents considered more at risk during extreme heat. “Western Australians vulnerable to extreme heat can register for TeleRedi, a free welfare check service funded by the Cook Government and delivered by Australian Red Cross. The service provides phone-based wellbeing checks for eligible people who may be at higher risk of health impacts during a heatwave, no matter where they live. Registered TeleRedi participants will receive regular check-in calls from trained Australian Red Cross volunteers. If a call goes unanswered or a person appears unwell or distressed, an escalation process will be activated to help support their safety and wellbeing,” said Health Minister Meredith Hammat.
Hammat said the service is intended for people who live alone, older people, and those with ongoing health issues, and is also relevant for carers. “Carers of vulnerable people are also encouraged to register, recognising the added pressure and risks extreme heat can place on those providing care,” she said. From an insurance perspective, such initiatives may influence the incidence and severity of heat-related health events and equipment failures, with potential flow-on effects for life, health, and some home and contents claims.
Western Australia has experienced heatwave-related pressure on its electricity network in recent years, resulting in localised outages, including in parts of Perth. Loss of power during prolonged heat limits the use of air-conditioning and fans, which can increase health risks for vulnerable policyholders. For insurers, these conditions raise issues across several product lines, including:
The current event is likely to prompt some insurers to review how extreme heat contributes to aggregate risk, in combination with existing bushfire, storm, and flood assumptions in catastrophe models.
While Western Australia manages extreme temperatures, the Insurance Council of Australia (ICA) has escalated the Victorian bushfires to an Insurance Catastrophe, signalling the scale and complexity of the losses. As of Jan. 16, the ICA’s earlier significant event declaration has been upgraded for fires affecting 18 local government areas across Victoria since 7 January. Insurers have received 2,369 claims to date across home, commercial and motor. Current indications are that about 30% of property claims are total losses, with commercial losses expected to grow as access improves and further assessments are carried out.
The catastrophe declaration triggers industry-wide protocols that alter how insurers manage claims from affected policyholders. These measures include prioritising claims in impacted areas, triaging claims to identify those requiring urgent assistance, and sending insurer and ICA representatives into communities once emergency services confirm conditions are safe. Disaster response specialists are working with policyholders on claim lodgement, emergency payments, and assessments. The ICA has also set up an industry taskforce to examine operational or regulatory issues arising from the event and consider possible responses.
Insurers continue to staff the Castlemaine Recovery Centre and maintain a presence in Natimuk and Skipton. The ICA is monitoring access to Longwood and remains on standby to work with nearby communities, including Harcourt. Policyholders can find information on claim lodgement, documentation, and entitlements on the ICA website, alongside guidance from their insurers and brokers.
ICA deputy CEO Kylie Macfarlane said the focus remains on getting assistance to affected customers. “These bushfires have been devastating for many communities across Victoria, and insurer’s priority is getting help to people as quickly as possible. We acknowledge that a large recovery effort will be required to help the state recover from this catastrophic event and insurers stand ready to support communities in this process. I’d encourage Victorians impacted by these fires, to get in touch with their insurer, and lodge a claim. They can do so even if they do not know the full extent of damage and may have not returned to their home or business as yet,” Macfarlane said.
For Australian insurance professionals, the combination of extreme heat in Western Australia and catastrophe-level bushfires in Victoria is drawing attention to catastrophe management practices, surge staffing arrangements, policyholder communication approaches, and accumulation monitoring across property, commercial, and motor portfolios as climate-related events place ongoing pressure on the market.
