Inquiry looking into insurers’ response to major flood claims

An inquiry is currently being conducted into insurers’ responses to 2022 major flood claims, with affected people from Narrabri Shire called to participate.

Federal Member for Parkes Mark Coulton is encouraging residents who experienced the devastation of the 2022 floods to take part in a survey on the process of claiming insurance as a result of this period of natural disaster.

Repeated flooding along the Namoi River was experienced between September and November, with the river reaching major flood level at many locations along the catchment.

“The 2022 floods caused immense destruction to parts of the Parkes electorate, with water infiltrating streets, homes, businesses and whole communities,” Mr Coulton said.

“Following the catastrophic impact of flooding, many affected residents would have made claims with their insurers to try to recoup some of the costs of cleaning up the damage, and that is what this inquiry is looking into.

“I’ve been contacted by many residents from areas as far afield as Gunnedah, Wee Waa and Narrabri who have raised their concerns with me about the struggle to access insurance.

“There have also been complaints about the high costs of insurance following these floods, which have risen in many areas.

“The House of Representatives Standing Committee on Economics wishes to maximise opportunities for flood-affected individuals to contribute to the inquiry, with the online survey and submissions remaining open until September 30, 2024.”

The terms of reference list the matters to be considered as part of the inquiry.

The experiences of policyholders before, during and after making claims, is one of the matters.

Other items include the different types of insurance contracts offered by insurers and held by policyholders; timeframes for resolving claims; obstacles to resolving claims, including factors internal to insurers and external, such as access to disaster-hit regions, temporary accommodation, labour market conditions and supply chains; insurer communication with policyholders; accessibility and affordability of hydrology reports and assessments to policyholders; affordability of insurance coverage to policyholders; claimants’ and insurers’ experiences of internal dispute resolution processes; and the impact of land use planning decisions and disaster mitigation efforts on the availability and affordability of insurance.