Australian storms produce $115 million loss

Recent storms across Australia are expected to produce AU$120 million (Cdn$115.5 million) in claims, according to preliminary estimates from the country’s Insurance Disaster Response Organisation (IDRO).The IDRO says insurers should face almost 30,000 claims from the storms which hit New South Wales, Victoria and Tasmania last Tuesday and Wednesday. The storms included hail, strong winds and heavy rain which uprooted trees and damaged homes, vehicles and businesses, and caused power outages.In New South Wales, 15,000 claims are expected to produce AU$75 million in losses. In Victoria, 12,000 claims should produce about AU$40 million in losses and in Northeastern Tasmania, 2,000 claims are expected to produce AU$5 million in losses.However, the AU$120 million price tag is likely to rise, cautions IDRO national coordinator Chris Henri. “We expect that the figure will be further boosted by a number of commercial claims, which take some time to assess. However, I must stress that these figures do not take into account the recoveries that insurers may make through their reinsurance arrangements.”