This blog post summarizes recent research from AAMI showing that many Australians remain underprepared for the increasing frequency of extreme weather — floods, cyclones, bushfires and hailstorms. It explores the practical steps homeowners and renters should take to reduce risk.
I’ll break down the survey findings and explain the common insurance misconceptions uncovered. Clear, evidence-based recommendations are offered, drawn from three decades of experience in disaster resilience and risk management.
What AAMI’s research reveals about preparedness and perception
A national survey of more than 2,000 Australian adults found stark gaps between lived experience and preparedness. While most respondents have endured severe weather, fewer than 40% feel ready to respond when an event occurs.
Only 17% have practised an emergency plan. Nearly one in five admitted to taking no preparedness action in the last year.
Knowledge about seasonality and routine maintenance is limited. Just 9% knew the official start of storm season.
78% were unaware storm-proofing should be performed approximately four times a year. Regular seasonal checks can prevent a cascade of damages that insurers may later dispute.
Why these gaps matter for safety and claims
Misperceptions about insurance coverage and claims procedures compound the risk. AAMI’s research highlights that 30% of people believe coverage can be purchased immediately before a disaster.
38% are uncertain about how policy timing works. In reality, insurers commonly impose temporary embargoes before known major events.
Many policies include clauses tied to property maintenance. Allianz data echoes these concerns: non-disaster home damage claims rose by 5% in 2024, largely linked to poor upkeep.
If damage results from neglect, insurers may decline or reduce claims. This could be avoided with routine maintenance.
Common insurance misunderstandings to correct now
Confusion around excess payments and evidence requirements is widespread. Many Australians mistakenly believe all claims automatically incur an excess or that damaged items must be left untouched indefinitely.
There are also mixed understandings about flood insurance and legal liability for storm damage. Clearing up these points ahead of an event can speed claims and secure fair outcomes.
Practical steps to improve resilience and clarity
From my experience, small, consistent actions yield outsized benefits when weather turns extreme.
Below are practical items every household should implement this season:
Here is the source article for this story: Australians unprepared for extreme weather despite recent disasters