PERILS reduces Australia east coast SCS losses to AU $1.501bn

Catastrophe data aggregator PERILS has published its third industry loss estimate from the severe convective storms (SCS) that struck Australia’s East Coast in late October, placing the insurance market loss at AU $1.501 billion (approx US $1.072bn), a slight decline from its second estimate that was published in February.

PERILS published its initial insurance industry loss estimate for these severe convective storms back in December, putting the total at the time at AU $1.108 billion.

Then in its second industry loss estimate update, which was published in February, the total had risen meaningfully, increasing 37% to AU $1.512 billion.

Now, in its third update, it appears that the total industry loss has seen a slight decline at AU $1.501 billion.

The loss estimate is based on detailed loss data by postcode and property and motor hull lines of business collected from the majority of the Australian insurance market.

In late October 2025, the Insurance Council of Australia (ICA) declared the hailstorm that impacted the wider Brisbane region on October 26th a significant event, as the east coast of Australia experienced an extended duration of SCS activity until November 1st.

PERILS noted that both South East Queensland and New South Wales were respectively impacted by more moderate storm activity during the following days causing further damage.

In addition, PERILS also confirmed that personal lines property losses represent 61% of the total industry loss, while commercial lines property losses represent 25% and motor losses 14%.

The event mainly affected the states of Queensland (94% of the total industry loss) and New South Wales (5%).

PERILS has confirmed that an updated estimate of the insurance market loss from the Australia East Coast Severe Convective Storms will be published on November 2nd, 2026, twelve months after the event end date.

Darryl Pidcock, Head of Asia Pacific & Cyber at PERILS, commented: “This is the first of two major Severe Convective Storms that impacted this region within a month, generating over AUD 4 billion in insured losses.

“This report, released six months after the event, includes very detailed hail intensity information at a postcode level. Combining the physical intensities with PERILS Industry Exposure data provides a wealth of information and insights regarding vulnerabilities across the different lines of business enabling a more comprehensive understanding of the impacts of Severe Convective Storms in these exposed regions.”