Cyber Insurance Online :: News
SHARE

Share this news item!

Insurers Under Fire: Melbourne Floods Reveal Gaps and Mismatches

Insurers Under Fire: Melbourne Floods Reveal Gaps and Mismatches

Insurers Under Fire: Melbourne Floods Reveal Gaps and Mismatches?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

Residents from western Melbourne have voiced sharp disapproval of insurance companies at the recent federal inquiry hearings held in Maribyrnong, citing significant grievances post the 2022 floods.

Madeleine Serle, Chair of the Maribyrnong Community Recovery Association, described the industry's response to the floods that hit in October and November 2022 as “unacceptably poor,” underscoring a severe letdown in expected assistance.

“It became evident fairly quickly in Maribyrnong that the very people who were supposed to assist us had utterly failed,” Serle asserted.

“The delays we faced seemed purposeful, alongside layers of confusion and inefficiency. Tasks that needed completion didn’t see the light of day, documentation vanished into thin air, and work scopes were altered in misleadingly frequent manners.

“I’ve never observed such a dysfunctional mix in any business sector. The rampant chaos, disorganization, resource misallocation, and mismanagement of subcontractors were beyond belief.”

Wennie van Riet, leading the Mental Health and Wellbeing Project at GenWest, highlighted the complexity of understanding insurance policies, which many customers found to be written in overly complicated jargon. “Policy terms are often presented in a manner only those with specialized higher education could decipher,” van Riet critiqued.

She emphasized that educating policyholders and better disaster preparedness could significantly improve their experiences and outcomes.

Another focal point was the issue of inadequate cash settlements. Various community groups have advocated for insurers to alter their methods.

“Insurers need to carefully assess whether individuals can sufficiently handle cash settlements and the ensuing project management risks,” Anglicare Victoria Financial Counsellor Kathryn Swinton explained. “It’s imperative that people understand taking cash places the project management responsibility squarely on their shoulders.”

Concerns about flood insurance affordability were also brought to the forefront. Moonee Valley Mayor Pierce Tyson reported staggering premium hikes by 50% since the flooding occurred.

“We worry that properties in Maribyrnong could become uninsurable-not in the distant future, but maybe even soon,” Tyson cautioned.

The Maribyrnong hearing marked the start of a series of three such inquiry sessions in Victoria.

Published:Thursday, 16th May 2024
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

Share this news item:

Insurance News

InsurtechLIVE26 Conference Set to Propel Insurance Innovation in 2026
InsurtechLIVE26 Conference Set to Propel Insurance Innovation in 2026
08 Feb 2026: Paige Estritori
Insurtech Australia has officially announced the upcoming InsurtechLIVE26 conference, scheduled for 18 February 2026 at Doltone House Jones Bay Wharf in Sydney. This event is poised to be a pivotal gathering for professionals in the insurance and technology sectors, aiming to explore and advance innovation within the industry. - read more
Climate Change's Impact on Home Insurance Premiums: Insights from IAG
Climate Change's Impact on Home Insurance Premiums: Insights from IAG
08 Feb 2026: Paige Estritori
Insurance Australia Group (IAG), a leading insurer in the Australian market, has highlighted the escalating impact of climate change on home insurance premiums. The company reports that the increasing frequency and severity of weather events are significant factors driving up the cost of home insurance for Australians. - read more
ICA Advocates for Overhaul of Civil Liability Laws Amid Rising Insurance Premiums
ICA Advocates for Overhaul of Civil Liability Laws Amid Rising Insurance Premiums
08 Feb 2026: Paige Estritori
The Insurance Council of Australia (ICA) has recently released a white paper highlighting the urgent need for reforms to state and territory civil liability laws, which have remained largely unchanged for nearly 25 years. These outdated laws are contributing to significant increases in public liability insurance premiums, affecting a wide range of businesses across the nation. - read more
APRA Data Shows Significant Rise in Public Liability Insurance Premiums
APRA Data Shows Significant Rise in Public Liability Insurance Premiums
08 Feb 2026: Paige Estritori
The Australian Prudential Regulation Authority (APRA) has released its latest National Claims and Policies Database (NCPD) statistics, revealing a substantial increase in public liability insurance premiums over recent years. According to the data, premiums have risen by 40% since 2015, a rate that surpasses general inflation and places additional financial strain on businesses across the country. - read more
Upcover Unveils Comprehensive Management Liability Insurance for Australian SMEs
Upcover Unveils Comprehensive Management Liability Insurance for Australian SMEs
08 Feb 2026: Paige Estritori
Sydney-based insurtech company Upcover has launched a new management liability insurance product designed specifically for small and medium-sized enterprises (SMEs) and sole traders across Australia. This offering aims to provide comprehensive protection against a range of risks, including employment disputes, official investigations, tax audits, financial crimes, statutory liabilities, and allegations of legal breaches. - read more


Cyber Insurance Articles

Case Studies: The True Impact of Cyber Attacks on Australian Small Businesses
Case Studies: The True Impact of Cyber Attacks on Australian Small Businesses
As we delve into the digital era, the number of cyber threats that challenge Australian small businesses is significantly on the rise. Cyber attacks have become more sophisticated, frequent, and continue to disrupt the operations of small enterprises, often with devastating consequences. The need to fortify defenses against such threats has never been more paramount. - read more
Understanding Cyber Threats and How They Affect Your Finances
Understanding Cyber Threats and How They Affect Your Finances
Cyber threats refer to malicious acts that seek to damage data, steal information, or disrupt digital operations. These threats can come in various forms, such as malware, phishing attacks, ransomware, and more. - read more
How to Protect Your Small Business from Cyber Threats
How to Protect Your Small Business from Cyber Threats
In today's digital age, the rising importance of cybersecurity for small businesses in Australia cannot be overstated. As technology permeates every aspect of business operations, it offers tremendous advantages but also exposes small businesses to a growing array of cyber threats. These threats are increasingly targeting small companies, seeking to exploit vulnerabilities and potentially cause significant financial and reputational damage. - read more
Cyber Insurance Claims: What Small Business Owners Need to Know
Cyber Insurance Claims: What Small Business Owners Need to Know
Cybersecurity incidents are a growing concern for small businesses. These incidents can have disastrous consequences on the affected businesses and their customers. Cyber insurance policies provide a form of financial protection for small businesses in the event of a cyber-attack. This article will provide an overview of cyber insurance claims and its importance for small business owners. - read more
Understanding the Importance of Cyber Insurance in the Digital Age
Understanding the Importance of Cyber Insurance in the Digital Age
As we dive deeper into the digital era, the topic of cyber security becomes increasingly critical. With businesses and individuals relying heavily on digital technologies, the threat of cyber attacks looms larger than ever. This introductory section aims to unpack the concept of cyber insurance as a tool to mitigate these risks. - read more


Your free Cyber insurance quote comparison starts here!
First Name:
Postcode:

All quotes are provided free and without obligation by a Specialist from our National Broker referral panel. See our Privacy Statement for more details.


Knowledgebase
Subrogation:
The process by which an insurance company seeks to recover the amount paid to the policyholder from a third party responsible for the loss.