According to new data released by the Insurance Council of Australia (ICA), the total insured cost of extreme weather events in the first half of 2025 has now surpassed AUD 1.8 billion from 148,437 claims.
A breakdown of these claims shows that the most recent event, the Mid-North Coast and Hunter Floods, has incurred 11,500 claims amounting to almost AUD 200 million.
Ex-Tropical Cyclone Alfred, the region’s most costly and widespread event of 2025 so far, has exceeded 125,000 in incurred claims, totalling AUD 1.36 billion, so accounting for the bulk, or 76% of the H1 2025 total.
Incurred claims from the North Queensland floods in February have reached AUD 274 million across more than 11,000 claims, according to the ICA.
In May, the ICA had already disclosed that the February North Queensland floods and ex-Tropical Cyclone Alfred in March had so far caused insured losses of almost AUD 1.5 billion.
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Liam Walter, Director of Mitigation and Extreme Weather Response, ICA, commented, “We’ve had a busy start to 2025 with three declared events totalling more than AUD 1.8 billion in claims incurred to date. While this damage bill isn’t as severe as first expected, we acknowledge that for many communities, recovery is still very much ongoing, and there is still a long road ahead.
“The ICA is also closely monitoring the weather event that’s unfolding in New South Wales and urges residents right along the coast to follow the advice of emergency services. Insurers are leaning forward and ready to support communities should they be impacted.”
Following these events, the ICA and insurers held customer engagement events in Cardwell, Ingham and Hervey Bay, as well as establishing Insurance Hubs in Townsville, Taree, and Port Macquire.
Additionally, insurers maintained an extended presence at many Queensland and New South Wales recovery centres and hubs during the recovery phases of the events.
There are also plans for future insurer visits and consultations in these affected regions and surrounding communities that are underway, explained the ICA.
Recently, Australia’s Insurance Australia Group (IAG) reported estimated natural perils costs for the financial year 2025 of approximately $1.08 billion.
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