View this article online: https://www.claimsjournal.com/news/international/2007/10/12/84244.htm
Guy Carpenter & Company announced that its Instrat(R) unit has published a report on the impact of the powerful East Coast Low (ECL) pressure system that hit New South Wales in Australia between June 7-10, 2007.
The study, “Australian East Coast Storm 2007: Impact of East Coast Lows,” provides a detailed overview of the storm damage and severe flooding in the affected region, along with insured loss estimates. Guy Carpenter also noted that the report “explores the meteorological background of ECLs in greater detail, examines the potential impact of climate change and offers a broader analysis of the various natural hazards that exist in Australia, including potential damage costs and flood assessment.”
Scott Grove, Managing Director, Guy Carpenter explained that such storms “often bring strong winds and intense rainfall to the coasts of southern Queensland, New South Wales and eastern Victoria. They are a persistent risk when climatic conditions are favorable for their formation.”
He added that the increasing “population density and wealth per capita” in the area has contributed to “significant damage and very high insurance claims.”
The bulletin described the storm last June as packing winds of up to125 kph (80 mph) when it struck New South Wales. Heavy rains also fell throughout the area causing “widespread flooding in the Hunter Region and flashflooding in the city of Newcastle. As a result of the storms, thousands of people were forced to evacuate their properties and more than 200,000 homes lost power. According to the report, more than 90,000 insurance claims have been filed to date at an estimated cost of A$1.35 billion [US$1.22 billion], making the event the eighth most expensive in Australia’s history.”
Grove also noted that, “although cover for flood is now on the increase in Australia, some of the flooding from this event was excluded from settlement. Most major insurers are now examining how to integrate full flood into their standard residential policies, and there is an increasing need for tools and data to help quantify the exposure.
“Guy Carpenter is currently assessing the possibility of producing appropriate products that can help quantify the flood risk across Australia, and we expect to continue to expand our resources and capabilities in this area.”
Copies of the report are available for download at www.guycarp.com. Printed copies can be obtained by contacting Guy Carpenter at: marketing@guycarp.com.
Source: Guy Carpenter – www.guycarp.com