Australia’s Lessons from Cyclone Debbie: The impact on property and what’s ahead for cyclone season 20/21 and gaining catastrophe event insights.
Cyclone Debbie showed that natural disasters appear to be impacting a wider area, with an increasing number of insured losses. It reinforced that climate change is expected to be a major source of financial risk over the long term, and puts pressure on the finance sector to articulate how future climate change will affect business. It also serves as a reminder to invest now in data and research to create useful models, and assess potential losses and the impact on their portfolios.
It’s also one reason why CoreLogic, one of the world’s leading providers of property data and analytics, has partnered with global reinsurer and risk modelling specialist Munich Re to prepare for future climate risks. Our catastrophe event insights, which provide detailed intelligence on structural risks and natural hazards, are targeted towards helping sharpen risk assessments and property valuation, and assisting Australians prepare for our changing natural disaster landscape.
Cyclone Debbie, and other severe weather events in recent years, are changing the way Australian people and businesses view natural disasters. Homeowners are still building and buying properties in cyclone-prone locations, but with a renewed focus on disaster preparedness. Insurers are reviewing their coverage policies to support what is likely to be a growing volume of customers affected by natural disasters into the future. Banks are similarly assessing their risk appetite for high-risk areas over the coming decades.
Source: CoreLogic news