Elders Insurance Highlights Increased Summer Storm Risks for Farmers

In the 2023-2024 summer months alone, nearly half (47%) of all claims over the 12-month period were lodged during this season. The 2024-2025 period tracked similarly, with 41% of claims to date lodged during the summer months. These figures highlight the heightened risk that summer storms pose to farming operations.

Key findings from the claims data include:

• Rising costs: Claims paid totaled approximately $92.14 million in 2024, nearly double the $55.85 million paid in 2023. The average cost per claim during the 2024-2025 summer was approximately $24,000, with summer claims accounting for about 53% of the total paid over the 12-month period.
• Infrastructure hit hardest: The most common claims involved sheds, fencing, solar panels, and immobile machinery-critical assets that can take months to repair or replace.
• State hotspots: New South Wales and Queensland bore the brunt of storm damage in the 2024-2025 summer period, accounting for 35% and 30% of lodged claims respectively, followed by Victoria (15%) and Western Australia (11%).

Dale Gleeson, General Manager at Elders Insurance, emphasized the importance of proactive planning. He noted that storm activity typically peaks over summer, and such events can be incredibly costly and disruptive for farmers. Implementing measures to safeguard assets and having contingency plans in place are crucial steps in mitigating potential damages.

For farmers, this data serves as a reminder to review and update their insurance coverage, ensuring it adequately reflects the value of their assets and the specific risks associated with their operations. Additionally, investing in preventive measures, such as securing infrastructure and maintaining equipment, can help reduce the impact of severe weather events.

As climate patterns continue to evolve, staying informed and prepared is essential for the resilience and sustainability of farming enterprises. Collaborating with insurance providers to understand coverage options and risk management strategies can further enhance a farm's ability to withstand and recover from adverse weather conditions.