The maps that show how climate change is driving up the cost of insuring Melbourne homes
Since then, Pascoe and Johanason have left the mountain, and now live in Nillumbik.
Pascoe says that after the damaging storms, weakened trees continue to come down on Mount Dandenong, disrupting power lines and people's lives.
She and her partner have had to reimburse guests on multiple occasions when power outages hit.
'People are not properly compensated,' she said. 'There's often businesses that are throwing out produce; people have generators and have to rely on that ... and our [business's] insurance is far more expensive than it was before the storm.'
Data collected exclusively for this masthead from about 40,000 online quotes for building insurance premiums in Melbourne suburbs, compiled by actuary and insurance consultants Finity, shows Pascoe's experience is far from isolated.
Finity collected quotes from eight insurers over a six-year period across metropolitan Melbourne, representing the amount that customers would pay if they were taking on a new building insurance policy for a typical risk profile in the local government area.
Principal Stephen Lau said the most expensive climate-related events in the past 40 to 50 years, from an insurance perspective, were floods, bushfires and the 1999 Sydney hailstorm that caused $8.9 billion in normalised losses (adjusted for inflation, exposure and building stock).
'And that's then passed back down to consumers ... if there's higher reinsurance risks, they pass down higher reinsurance costs.'
While Black Saturday and Black Summer had increased insurance premiums, Lau said the most expensive climatic event from a normative loss basis were the 1999 hailstorms.
Rounding out the top three were the 2022-23 floods across south-eastern Australia, and the Black Summer bushfires.
In Melbourne, the municipality with the lowest average insurance premiums was Whitehorse, which had an average insurance premium of $1609 – almost three times lower than the Yarra Ranges Shire.
Lau said the Bayside, Stonnington and Port Phillip local government areas had higher-than-average premiums due largely to the higher cost of housing and larger-than-average property values insured.
Insurance Council of Australia chief executive Andrew Hall called for a 10-year, $30 billion flood defence fund that would be jointly funded by federal and state governments, to develop flood defences, retrofit homes and relocate people where no other mitigation was possible.
'The cost of extreme weather is growing,' he said. 'Over the past five years, the annual average insured cost of extreme weather has reached $4.5 billion [nationwide], 64 per cent higher than the previous five-year average.
'This trend is expected to worsen, which is why we must invest in risk reduction, mitigation and adaptation.'
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The Advertiser
01-06-2025
- The Advertiser
Disasters a $2.2b blow to economic activity
The cost of lost economic activity because of natural disasters in 2025 has been estimated at $2.2 billion, after Treasury analysed the impacts of Cyclone Alfred, and floods across NSW and Queensland. Partial data for the March quarter shows natural disasters have particularly impacted retail trade and household spending. The $2.2 billion figure is based on Treasury's initial assessment at the time of the disasters and there may be rebuilding activity in future quarters. Most of the overall immediate loss in economic activity is expected to impact the March quarter, which will be seen in the March quarter National Accounts, to be released on Wednesday. Treasurer Jim Chalmers said the government's first priority was helping fund recovery and rebuilding for communities. "The human impacts matter to us most but the economic cost is very significant too and we'll see that in Wednesday's National Accounts," he said. "Because of the progress Australians have made together in the economy, with inflation down, debt down and unemployment low, we're in a stronger position to provide support when communities need it most." Nominal retail trade in Queensland fell 0.3 per cent in February and 0.4 per cent in March. In volumes terms, the ABS Monthly Household Spending Indicator was flat in the March quarter. The 0.2 per cent fall in Queensland was a contributor to this flat result. Flooding in NSW in late May, from the Hunter to the mid-north coast, has left 10,000 homes and businesses damaged or destroyed, and the Insurance Council of Australia reported more than 6000 insurance claims. In early March, Tropical Cyclone Alfred crossed the coast on Moreton Island, and subsequently caused widespread damage and flooding to communities across South-East Queensland and northern NSW. Prolonged downpours in southwest and central Queensland in late March and early April flooded a vast area spanning about one million square kilometres. The government's Disaster Assist website lists 27 separate natural disasters from January-May, consisting of flooding, storms, cyclones and bushfires. Opposition Leader Sussan Ley will be on the Mid North Coast on Monday to visit flood-affected communities with local MPs. Minister for Emergency Management Kristy McBain said the government was funding measures to increase resilience, adaptability and preparedness, and the Disaster Ready Fund initiative would provide another $200 million 2025-26. "I have recently been on the ground in NSW seeing first-hand the effects a disaster can have, and it is my priority to work closely with all levels of government to ensure support is provided as quickly as possible," she said. "We have activated multiple disaster payments and we will continue to work with NSW on any other funding requests and I have been meeting with small business and primary producers who have been hit hard." The cost of lost economic activity because of natural disasters in 2025 has been estimated at $2.2 billion, after Treasury analysed the impacts of Cyclone Alfred, and floods across NSW and Queensland. Partial data for the March quarter shows natural disasters have particularly impacted retail trade and household spending. The $2.2 billion figure is based on Treasury's initial assessment at the time of the disasters and there may be rebuilding activity in future quarters. Most of the overall immediate loss in economic activity is expected to impact the March quarter, which will be seen in the March quarter National Accounts, to be released on Wednesday. Treasurer Jim Chalmers said the government's first priority was helping fund recovery and rebuilding for communities. "The human impacts matter to us most but the economic cost is very significant too and we'll see that in Wednesday's National Accounts," he said. "Because of the progress Australians have made together in the economy, with inflation down, debt down and unemployment low, we're in a stronger position to provide support when communities need it most." Nominal retail trade in Queensland fell 0.3 per cent in February and 0.4 per cent in March. In volumes terms, the ABS Monthly Household Spending Indicator was flat in the March quarter. The 0.2 per cent fall in Queensland was a contributor to this flat result. Flooding in NSW in late May, from the Hunter to the mid-north coast, has left 10,000 homes and businesses damaged or destroyed, and the Insurance Council of Australia reported more than 6000 insurance claims. In early March, Tropical Cyclone Alfred crossed the coast on Moreton Island, and subsequently caused widespread damage and flooding to communities across South-East Queensland and northern NSW. Prolonged downpours in southwest and central Queensland in late March and early April flooded a vast area spanning about one million square kilometres. The government's Disaster Assist website lists 27 separate natural disasters from January-May, consisting of flooding, storms, cyclones and bushfires. Opposition Leader Sussan Ley will be on the Mid North Coast on Monday to visit flood-affected communities with local MPs. Minister for Emergency Management Kristy McBain said the government was funding measures to increase resilience, adaptability and preparedness, and the Disaster Ready Fund initiative would provide another $200 million 2025-26. "I have recently been on the ground in NSW seeing first-hand the effects a disaster can have, and it is my priority to work closely with all levels of government to ensure support is provided as quickly as possible," she said. "We have activated multiple disaster payments and we will continue to work with NSW on any other funding requests and I have been meeting with small business and primary producers who have been hit hard." The cost of lost economic activity because of natural disasters in 2025 has been estimated at $2.2 billion, after Treasury analysed the impacts of Cyclone Alfred, and floods across NSW and Queensland. Partial data for the March quarter shows natural disasters have particularly impacted retail trade and household spending. The $2.2 billion figure is based on Treasury's initial assessment at the time of the disasters and there may be rebuilding activity in future quarters. Most of the overall immediate loss in economic activity is expected to impact the March quarter, which will be seen in the March quarter National Accounts, to be released on Wednesday. Treasurer Jim Chalmers said the government's first priority was helping fund recovery and rebuilding for communities. "The human impacts matter to us most but the economic cost is very significant too and we'll see that in Wednesday's National Accounts," he said. "Because of the progress Australians have made together in the economy, with inflation down, debt down and unemployment low, we're in a stronger position to provide support when communities need it most." Nominal retail trade in Queensland fell 0.3 per cent in February and 0.4 per cent in March. In volumes terms, the ABS Monthly Household Spending Indicator was flat in the March quarter. The 0.2 per cent fall in Queensland was a contributor to this flat result. Flooding in NSW in late May, from the Hunter to the mid-north coast, has left 10,000 homes and businesses damaged or destroyed, and the Insurance Council of Australia reported more than 6000 insurance claims. In early March, Tropical Cyclone Alfred crossed the coast on Moreton Island, and subsequently caused widespread damage and flooding to communities across South-East Queensland and northern NSW. Prolonged downpours in southwest and central Queensland in late March and early April flooded a vast area spanning about one million square kilometres. The government's Disaster Assist website lists 27 separate natural disasters from January-May, consisting of flooding, storms, cyclones and bushfires. Opposition Leader Sussan Ley will be on the Mid North Coast on Monday to visit flood-affected communities with local MPs. Minister for Emergency Management Kristy McBain said the government was funding measures to increase resilience, adaptability and preparedness, and the Disaster Ready Fund initiative would provide another $200 million 2025-26. "I have recently been on the ground in NSW seeing first-hand the effects a disaster can have, and it is my priority to work closely with all levels of government to ensure support is provided as quickly as possible," she said. "We have activated multiple disaster payments and we will continue to work with NSW on any other funding requests and I have been meeting with small business and primary producers who have been hit hard." The cost of lost economic activity because of natural disasters in 2025 has been estimated at $2.2 billion, after Treasury analysed the impacts of Cyclone Alfred, and floods across NSW and Queensland. Partial data for the March quarter shows natural disasters have particularly impacted retail trade and household spending. The $2.2 billion figure is based on Treasury's initial assessment at the time of the disasters and there may be rebuilding activity in future quarters. Most of the overall immediate loss in economic activity is expected to impact the March quarter, which will be seen in the March quarter National Accounts, to be released on Wednesday. Treasurer Jim Chalmers said the government's first priority was helping fund recovery and rebuilding for communities. "The human impacts matter to us most but the economic cost is very significant too and we'll see that in Wednesday's National Accounts," he said. "Because of the progress Australians have made together in the economy, with inflation down, debt down and unemployment low, we're in a stronger position to provide support when communities need it most." Nominal retail trade in Queensland fell 0.3 per cent in February and 0.4 per cent in March. In volumes terms, the ABS Monthly Household Spending Indicator was flat in the March quarter. The 0.2 per cent fall in Queensland was a contributor to this flat result. Flooding in NSW in late May, from the Hunter to the mid-north coast, has left 10,000 homes and businesses damaged or destroyed, and the Insurance Council of Australia reported more than 6000 insurance claims. In early March, Tropical Cyclone Alfred crossed the coast on Moreton Island, and subsequently caused widespread damage and flooding to communities across South-East Queensland and northern NSW. Prolonged downpours in southwest and central Queensland in late March and early April flooded a vast area spanning about one million square kilometres. The government's Disaster Assist website lists 27 separate natural disasters from January-May, consisting of flooding, storms, cyclones and bushfires. Opposition Leader Sussan Ley will be on the Mid North Coast on Monday to visit flood-affected communities with local MPs. Minister for Emergency Management Kristy McBain said the government was funding measures to increase resilience, adaptability and preparedness, and the Disaster Ready Fund initiative would provide another $200 million 2025-26. "I have recently been on the ground in NSW seeing first-hand the effects a disaster can have, and it is my priority to work closely with all levels of government to ensure support is provided as quickly as possible," she said. "We have activated multiple disaster payments and we will continue to work with NSW on any other funding requests and I have been meeting with small business and primary producers who have been hit hard."
West Australian
01-06-2025
- West Australian
Disasters a $2.2b blow to economic activity
The cost of lost economic activity because of natural disasters in 2025 has been estimated at $2.2 billion, after Treasury analysed the impacts of Cyclone Alfred, and floods across NSW and Queensland. Partial data for the March quarter shows natural disasters have particularly impacted retail trade and household spending. The $2.2 billion figure is based on Treasury's initial assessment at the time of the disasters and there may be rebuilding activity in future quarters. Most of the overall immediate loss in economic activity is expected to impact the March quarter, which will be seen in the March quarter National Accounts, to be released on Wednesday. Treasurer Jim Chalmers said the government's first priority was helping fund recovery and rebuilding for communities. "The human impacts matter to us most but the economic cost is very significant too and we'll see that in Wednesday's National Accounts," he said. "Because of the progress Australians have made together in the economy, with inflation down, debt down and unemployment low, we're in a stronger position to provide support when communities need it most." Nominal retail trade in Queensland fell 0.3 per cent in February and 0.4 per cent in March. In volumes terms, the ABS Monthly Household Spending Indicator was flat in the March quarter. The 0.2 per cent fall in Queensland was a contributor to this flat result. Flooding in NSW in late May, from the Hunter to the mid-north coast, has left 10,000 homes and businesses damaged or destroyed, and the Insurance Council of Australia reported more than 6000 insurance claims. In early March, Tropical Cyclone Alfred crossed the coast on Moreton Island, and subsequently caused widespread damage and flooding to communities across South-East Queensland and northern NSW. Prolonged downpours in southwest and central Queensland in late March and early April flooded a vast area spanning about one million square kilometres. The government's Disaster Assist website lists 27 separate natural disasters from January-May, consisting of flooding, storms, cyclones and bushfires. Opposition Leader Sussan Ley will be on the Mid North Coast on Monday to visit flood-affected communities with local MPs. Minister for Emergency Management Kristy McBain said the government was funding measures to increase resilience, adaptability and preparedness, and the Disaster Ready Fund initiative would provide another $200 million 2025-26. "I have recently been on the ground in NSW seeing first-hand the effects a disaster can have, and it is my priority to work closely with all levels of government to ensure support is provided as quickly as possible," she said. "We have activated multiple disaster payments and we will continue to work with NSW on any other funding requests and I have been meeting with small business and primary producers who have been hit hard."
Perth Now
01-06-2025
- Perth Now
Disasters a $2.2b blow to economic activity
The cost of lost economic activity because of natural disasters in 2025 has been estimated at $2.2 billion, after Treasury analysed the impacts of Cyclone Alfred, and floods across NSW and Queensland. Partial data for the March quarter shows natural disasters have particularly impacted retail trade and household spending. The $2.2 billion figure is based on Treasury's initial assessment at the time of the disasters and there may be rebuilding activity in future quarters. Most of the overall immediate loss in economic activity is expected to impact the March quarter, which will be seen in the March quarter National Accounts, to be released on Wednesday. Treasurer Jim Chalmers said the government's first priority was helping fund recovery and rebuilding for communities. "The human impacts matter to us most but the economic cost is very significant too and we'll see that in Wednesday's National Accounts," he said. "Because of the progress Australians have made together in the economy, with inflation down, debt down and unemployment low, we're in a stronger position to provide support when communities need it most." Nominal retail trade in Queensland fell 0.3 per cent in February and 0.4 per cent in March. In volumes terms, the ABS Monthly Household Spending Indicator was flat in the March quarter. The 0.2 per cent fall in Queensland was a contributor to this flat result. Flooding in NSW in late May, from the Hunter to the mid-north coast, has left 10,000 homes and businesses damaged or destroyed, and the Insurance Council of Australia reported more than 6000 insurance claims. In early March, Tropical Cyclone Alfred crossed the coast on Moreton Island, and subsequently caused widespread damage and flooding to communities across South-East Queensland and northern NSW. Prolonged downpours in southwest and central Queensland in late March and early April flooded a vast area spanning about one million square kilometres. The government's Disaster Assist website lists 27 separate natural disasters from January-May, consisting of flooding, storms, cyclones and bushfires. Opposition Leader Sussan Ley will be on the Mid North Coast on Monday to visit flood-affected communities with local MPs. Minister for Emergency Management Kristy McBain said the government was funding measures to increase resilience, adaptability and preparedness, and the Disaster Ready Fund initiative would provide another $200 million 2025-26. "I have recently been on the ground in NSW seeing first-hand the effects a disaster can have, and it is my priority to work closely with all levels of government to ensure support is provided as quickly as possible," she said. "We have activated multiple disaster payments and we will continue to work with NSW on any other funding requests and I have been meeting with small business and primary producers who have been hit hard."
