AU$1.811 billion – that’s the eye-catching loss total for January’s Australian hailstorms, according to catastrophe insurance data firm PERILS.
The company has revised its total for the events that occurred from January 19-21, from an original AU$670 million. The reason for the jump is because the previous figure did not include motor losses – said to be around AU$849 million, while there has also been a 44% increase in property losses, now standing at AU$962 million.
The latest report includes a detailed breakdown of property and motor losses by postcode, while also noting buildings, contents and business interruption losses.
The hailstorms struck New South Wales, Queensland, Victoria and the Australian Capital Territory. The event was deemed unusual as it hit all four areas within a three-day period with Canberra taking the brunt of the damage, being impacted by hailstones of up to 6cm in size. The Australian Capital Territory overall suffered 55% of the industry loss, with Victoria taking 25%, New South Wales 16% and Queensland 4%.
“This release is of particular market relevance as it is the first time hail motor losses, split into private and commercial LOBs, are included in a postcode-level loss footprint by PERILS,” said Darryl Pidcock, head of PERILS Asia-Pacific. “This follows the Australian insurance industry’s support for the inclusion of motor, a measure which will further enhance its understanding of underlying risks and enabling improvements in modelling.”