ICA upgrades NSW floods to catastrophe as claims near 5000

By Ryan Hewlett

May 27 - (The Insurer) - The Insurance Council of Australia (ICA) has upgraded its classification of the Mid North Coast and Hunter flooding to an ‘insurance catastrophe’ as claims surge into the thousands.

The ICA had declared the floods a “significant event” on May 21 but said on Monday it had made the decision to upgrade its designation for the event following feedback on the ground about the local severity of the flooding and ongoing challenges in recovery efforts.

“It is also clear there are ongoing effects of flooding in these regions over the past several years that requires more sustainable solutions for impacted river catchments,” it said.

The ICA’s catastrophe declaration serves to escalate and prioritise the insurance industry’s response for affected policyholders.

Insurers have received 4,937 claims from the event, which has impacted communities since May 17.

The impact of this recent flooding has been felt most significantly in communities along the Mid Coast including Taree, Port Macquarie-Hastings, Kempsey, Nambucca Valley, Bellingen and Coffs Harbour, and into parts of the Hunter.

Andrew Hall, CEO of the ICA, said: “The decision to upgrade this event reflects the breadth and severity of damage caused to impacted communities. It will also serve to activate additional services and support for affected homeowners and businesses and reassure them that their insurer is there to help.”