The Growing Need for Home and Business Insurance in Australia Amid Increasing Cyclone Activity
When the Unexpected Becomes Reality: Cyclone Alfred in 2025
In March 2025, Cyclone Alfred struck South East Queensland and northern New South Wales, leaving behind a trail of destruction few saw coming. With wind speeds exceeding 100 km/h, torrential rain, widespread flooding, and over 300,000 homes and businesses without power, Alfred served as a harsh wake-up call to a region that hadn’t faced a cyclone of this magnitude in over 50 years.
The storm caused over $1.2 billion in economic damage, overwhelmed infrastructure, displaced families, and halted business operations across the coast. Most notably, it marked a turning point in public awareness—cyclones, long considered a threat mainly to northern regions, are also a real risk for southern Queenslanders.
For many, the financial burden of damage from Cyclone Alfred was worsened by insufficient or non-existent insurance coverage, particularly among property owners who assumed they lived outside the cyclone danger zone.
Learning from the Past: Australia’s History of Devastating Cyclones
Cyclone Alfred is not the first significant weather event to impact Australians—and it won’t be the last. Over the past century, Australia has experienced numerous catastrophic cyclones, including:
- Cyclone Tracy (1974) – One of the most infamous in Australian history, Tracy devastated Darwin, destroying over 70% of homes and leaving over 40,000 people homeless.
- Cyclone Yasi (2011) – A Category 5 storm, Yasi caused widespread damage across Queensland’s coast, with an estimated $3.5 billion in losses, particularly in agriculture and tourism.
- Cyclone Debbie (2017) – Another Category 4 cyclone tore through North Queensland, affecting thousands of residents and businesses, with severe flooding extending into New South Wales.
- Cyclone Marcia (2015) – Made landfall as a Category 5 near Shoalwater Bay, causing over $750 million in insured losses across central Queensland.
The common thread among these events is that those prepared with proper insurance recovered faster and more fully than those not.
Climate Change and the Cyclone Shift
South East Queensland’s cyclone-free streak ended in 2025—but that may just be the beginning. According to the Bureau of Meteorology and CSIRO, while the number of tropical cyclones forming annually may not be increasing, the intensity and unpredictability of these storms are on the rise, primarily driven by climate change. Warmer oceans and rising sea levels contribute to more robust, wetter, and slower-moving cyclones, increasing the risk of both wind damage and inland flooding.
Experts predict that as the atmosphere continues to warm, cyclone zones will extend further south, putting more communities at risk. That means areas like Brisbane, the Sunshine Coast, and the Gold Coast can no longer rely on geography alone to stay safe.
This changing climate reality makes comprehensive insurance not only advisable but essential.
Why Home Insurance is Critical in Today’s Australia
In the wake of Cyclone Alfred, many homeowners were left scrambling. Some had basic policies that didn’t cover storm surges or flooding. Others were underinsured, having not updated their policies to reflect rising construction costs or the full value of their contents.
A well-structured home insurance policy should include:
- Storm and flood cover: Many policies exclude flood damage unless specifically added.
- Accidental damage: Covers a broader range of incidents than named-peril policies.
- Temporary accommodation costs: If your home is uninhabitable, your policy should cover living expenses while repairs are underway.
- Total replacement value ensures that you’re not left out of pocket due to underestimations in building or rebuilding costs.
At Business Insurance Consulting, our team works with clients to assess their specific property risks and match them with personal insurance solutions that offer complete peace of mind—because “near enough” isn’t good enough when disaster strikes.
Business Insurance: The Backbone of Recovery
Businesses are particularly vulnerable during and after natural disasters. Storms don’t just damage buildings—they shut down operations, disrupt supply chains, and prevent staff from working, leading to lost revenue that can be difficult to recoup without insurance.
Essential business insurance options include:
- Property Insurance: Covers physical damage to buildings, stock, and equipment.
- Business Interruption Insurance replaces lost income and helps cover fixed costs while your business recovers.
- Management Liability Insurance protects directors and owners from personal financial loss related to operational decisions, including compliance or employment disputes, during a crisis.
- Cyber Insurance: Increasingly vital as digital systems are targeted during disruption.
Cyclone Alfred revealed just how critical it is for businesses in all parts of Queensland to assess their vulnerability—not just to wind and water but also to operational downtime. With the right policies, Business Insurance Consulting can help ensure your company recovers quickly, keeps staff paid, and maintains customer trust.
Partnering with Business Insurance Consulting: A Smarter Way to Insure
Insurance shouldn’t be a “set and forget” decision. Your home, business, and assets, as do the risks you face, change over time. That’s why working with Business Insurance Consulting gives you a decisive advantage.
Our team offers:
- Personalised assessments of your insurance needs based on your location, assets, and risk profile
- Access to Australia’s leading insurers, giving you competitive quotes and flexible options
- Guidance during the claims process, so you’re never left navigating red tape on your own
- Ongoing support to review and update your policies as your life and business evolve
Our goal is simple: to make insurance clear, accessible, and tailored to protect what matters most to you.
Don’t Wait for the Next Storm
If Cyclone Alfred taught us anything, the “it won’t happen to me” mindset no longer applies. Whether you’re a homeowner, landlord, or business owner in Queensland or beyond, the risks associated with extreme weather events are only increasing. Insurance isn’t just a backup plan—it’s your first defence against financial devastation.
At Business Insurance Consulting, we’re here to help you understand your risks and create an insurance plan that gives you confidence, not just coverage.
Get in touch today and make sure you’re ready, not just for the next cyclone, but for whatever comes your way.