The Importance of Insurance Amidst Increasing Cyclone Risks in South East Queensland
Why Cyclone Alfred Is a Game-Changer for Insurance in Queensland
For over 50 years, South East Queensland has been spared the direct impact of a cyclone. This historical trend gave homeowners and business owners a sense of security, leading many to believe that comprehensive cyclone coverage was unnecessary. Then Cyclone Alfred struck.
The destructive storm tore through the region, leaving a trail of damage to homes, businesses, and public infrastructure. The event was a harsh reminder that extreme weather can strike anywhere, at any time. It also raised an important question: Are Queenslanders adequately insured for these disasters?
With climate change’s increasing unpredictability, extreme weather events like Cyclone Alfred are no longer one-off occurrences. This blog explores why home and business insurance is no longer optional but essential, how climate change makes natural disasters more frequent, and how Business Insurance Consulting can help Australians secure the proper protection before disaster strikes again.
Why Cyclone Alfred Was a Wake-Up Call for South East Queensland
Before Cyclone Alfred, Queensland’s significant storm risks were mainly confined to Far North Queensland and the Northern Territory, where tropical cyclones have been more frequent. However, as climate patterns shift, regions once considered “safe” are now vulnerable to extreme weather.
Cyclone Alfred brought:
- Destructive winds exceeding 150 km/h, causing widespread power outages
- Severe flooding, damaging homes, businesses, and critical infrastructure
- Massive financial losses, with early estimates suggesting billions in damages across Queensland
- Evacuations and displacement forced thousands of residents to seek emergency shelter
For homeowners, this meant property destruction, costly repairs, and long wait times for rebuilding efforts. For business owners, it resulted in disruptions, lost revenue, and even permanent closures. The businesses that had comprehensive insurance coverage could recover faster, while those without it faced financial ruin.
The Growing Impact of Climate Change on Extreme Weather Events
Climate change is making tropical cyclones more intense and unpredictable. According to Australian climate scientists, rising ocean temperatures are fuelling stronger storms, increasing rainfall intensity, and extending cyclone activity further south than ever before.
Research from the CSIRO and the Bureau of Meteorology has found that:
- While the total number of tropical cyclones has decreased, the proportion of severe Category 3-5 storms has increased.
- Warmer ocean temperatures are providing the fuel for more extreme and erratic weather systems.
- More flooding events occur due to higher atmospheric moisture levels, leading to heavier rainfall.
This means that cyclones like Alfred could occur regularly in previously considered low-risk regions. If you haven’t updated your insurance policy to reflect these changing risks, now is the time to act.
Why Home Insurance Is More Important Than Ever
Many homeowners assume their standard home and contents insurance policy covers all natural disasters, but this is not always true. With climate change increasing the risk of extreme weather, reviewing and updating your insurance policy is crucial to ensure you’re adequately covered.
Key aspects to consider in your home insurance policy:
- Storm and Flood Coverage: Some policies exclude flood damage or limit payouts. Check that your policy provides complete protection.
- Rebuilding Costs: Construction costs have surged in Australia due to supply chain issues and inflation. Your coverage should reflect current rebuilding costs.
- Temporary Accommodation Coverage: If your home is uninhabitable after a cyclone, does your policy cover alternate living arrangements?
Business Insurance Consulting provides expert advice to ensure that homeowners have the right level of protection and are not caught off guard by exclusions or insufficient coverage.
Business Insurance: Ensuring Continuity in the Face of Disaster
The consequences of inadequate insurance can be catastrophic for businesses. Cyclone Alfred caused widespread business closures, property damage, and revenue losses across South East Queensland. Those without the right insurance faced massive financial setbacks that could take years to recover from—or worse, force them to close permanently.
Key insurance policies for businesses facing extreme weather risks:
- Commercial Property Insurance: This covers building, equipment, and inventory damage.
- Business Interruption Insurance: Helps cover lost income during forced closures due to extreme weather.
- Cyber Insurance: Many businesses overlook this, but cybercrime spikes when companies are most vulnerable after disasters.
With climate change increasing these risks, having a tailored business insurance policy is no longer an option—it’s a necessity. Business Insurance Consulting helps businesses secure customised coverage that ensures financial stability during a disaster.
Lessons from Cyclone Alfred: What You Can Do Now
The biggest mistake homeowners and business owners can make after Cyclone Alfred is assuming it was a one-time event. Extreme weather events are here to stay, and the only way to protect yourself is to be proactive.
Here’s what you can do right now:
- Review your insurance policy and check for gaps in coverage.
- Upgrade your home insurance to include cyclone and flood protection.
- Ensure your business is covered for storm damage, lost revenue, and supply chain disruptions.
- Partner with an insurance expert like Business Insurance Consulting to find the best policy at a competitive price.
Why Work with Business Insurance Consulting?
With decades of experience in the Australian insurance market, Business Insurance Consulting provides expert guidance to individuals and businesses looking for comprehensive insurance solutions. Their personalised approach ensures clients get:
- Tailored coverage that meets their unique needs
- Competitive pricing without sacrificing protection
- Support in the claims process, ensuring faster recovery when disaster strikes
The Time to Act is Now
Cyclone Alfred is a turning point for South East Queensland. If this storm has taught us anything, it is that extreme weather can hit anywhere—and being unprepared is no longer an excuse. Now is the time to strengthen your insurance coverage so that you’re protected and financially secure when the next disaster strikes.Don’t wait until it’s too late. Contact Business Insurance Consulting today to ensure your home, business, and future are safeguarded against the unpredictable forces of nature.