The Australian Reinsurance Pool Corporation (ARPC) has released its latest quarterly Cyclone Reinsurance Pool Statistics Report, detailing claims activity, coverage levels, and premium impacts since the cyclone pool's establishment in 2022.
As of Dec. 31, 2024, the pool had received 9,399 claims with a total incurred value of AU$121 million.
The cyclone pool, which operates nationwide but focuses on cyclone-prone areas, currently provides coverage for more than 3.1 million buildings. The aggregate building exposure stands just under AU$2.23 trillion.
Annual premiums collected by the pool include approximately AU$546 million for home insurance, AU$53 million for strata properties, and AU$25 million for small to medium enterprise (SME) policies. The program also delivers AU$6.9 million in annual mitigation discounts for home properties.
ARPC’s report includes new data on average policy excess trends and the number of claims by cyclone event. Among the findings, the highest average home building policy excess was recorded in Far North Queensland at AU$1,953. In contrast, Southern Western Australia showed the lowest average excesses across both home building and contents policies.
The cyclone pool was introduced to support the availability and affordability of insurance in areas with medium to high cyclone risk. It applies to eligible policies across three classes: Home, Strata, and SME.
In parallel with the quarterly statistics, ARPC also released figures from its 2025 Premium Assessment. The updated data indicate that insurance premiums have declined in regions with higher cyclone exposure since the pool’s implementation.
Home insurance premiums in high-risk zones have decreased by an average of 39% compared to pre-pool levels. Medium-risk properties also experienced premium reductions.
For SMEs, premiums for building and contents coverage in high-risk areas have dropped by 31%. The assessment further noted that access to insurance has expanded alongside these reductions.
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