Sedgwick has released a report on its response to Australia’s 2025–26 catastrophe season, saying the year reinforced the value of preparing early, communicating clearly and adapting quickly as events unfold.
The report covers July 2025 to June 2026. Sedgwick said five major events generated more than 144,000 claims and over $3.8 billion in insured losses across the industry.
The Insurance Council of Australia’s (ICA) 2025–26 catastrophe report, released on 1 September, puts the season’s seven declared events at 147,552 claims and $3.98 billion in insured losses. Those seven include two non-weather events, the Bondi attack and the Middle East conflict. The ICA also puts the October 2025 spring storm event at $1.07 billion across 41,378 claims as at 30 July. Sedgwick’s report lists $986 million and 40,500 claims for the same event.
The costliest event was the Queensland and New South Wales storm and hail catastrophe in November 2025, at $2.2 billion across 95,692 claims. The January 2026 Victorian bushfires cost $599 million across 4,852 claims, according to both reports.
Jason Wyer, Sedgwick’s CAT manager and general manager property, said the season reinforced “the value of preparing before an event occurs.” He said combining predictive insights with experienced people on the ground, close collaboration with clients and a focus on the individual customer helps Sedgwick respond more effectively when communities need it most.
Sedgwick said its data science teams built a model before the season, using historical claims and catastrophe data to test scenarios and resourcing. It also held pre-catastrophe meetings with clients to agree communication arrangements and solutions to speed up settlements.
Where access allowed, adjusters were positioned in affected areas early, so they could speak with customers as claims were lodged. Sedgwick said having leaders on the ground gave it visibility, through local clients, brokers and agents, of road access and infrastructure impacts.
Sedgwick also introduced fast-track pathways for contents claims and total-loss property claims, particularly during bushfires. It used portfolio data to identify stalled claims, vulnerable customers and complaints. The ICA said about 30% of property claims in the Victorian bushfires were total losses, and that some rebuilds could take years given remoteness and demand on trades and materials.
Welfare featured prominently. Sedgwick said customer-facing staff received trauma training. After the Victorian bushfires it paused site visits when temperatures were forecast to exceed 40 degrees, explaining to customers that adjusters could not safely attend. It also began giving teddy bears to field adjusters to comfort children at relief centres.
Sedgwick said it will build on the 2025–26 response in 2026–27. Its plans include predictive modelling, early mobilisation and pre- and post-loss client workshops.
Conditions could test those plans. ICA chief executive Andrew Hall said on 13 October that the Bureau of Meteorology expects the current El Niño to be likely to become the strongest on record. The Australasian Fire and Emergency Services Authorities Council’s spring bushfire outlook flagged heightened fire risk across several regions. Moody’s modelling indicates El Niño raises Australian bushfire risk by more than 50% compared with non-El Niño years. CSIRO has cautioned that El Niño does not translate directly into bushfire outcomes.
Rebuild costs add another pressure. The ICA found building costs rose about 30% between 2021 and 2026, against consumer price index growth of about 24%. Roof tiles rose 77%. It said rising rebuild costs can increase underinsurance risk if cover is not regularly reviewed. Bushfire carried the highest average claim cost of any peril, at $114,888.
Sedgwick’s report describes its own approach rather than industry-wide practice. Still, early contact, clear updates and attention to vulnerable customers are areas brokers may want to be mindful of as the season's weather challenges unfold.
