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Will Surfside be “on track to become uninsurable”


The Beagle Editor Given the concerns voiced by Coast Alliance members about rising insurance costs, I thought we should alert them to an article relating to the recent flooding in Townsville. Some pertinent extracts: "Houses in flood-hit Townsville and other parts of north Queensland are “on track to become uninsurable”, according to analysis that shows the risk to homes from flooding will more than double under climate change. The modelling, based on current global emissions trajectories, says flooding in Townsville is already about 20% more likely to occur than previously thought. The total flood risk in the region is likely to increase by 130% by the end of the century. Climate Valuation, which advises the property and finance industry, said the result would be that more homes would find flood cover difficult to obtain and too expensive. The director of science and systems at Climate Valuation, Karl Mallon, said the risk of increased flooding left homeowners and business financially vulnerable. “Unfortunately, there are a lot of properties out there that planners in years past considered acceptable, but which homeowners may find are not insurable today or won’t be very soon,” he said. “Generally insurance companies often draw a line in the sand at the frequency of a one-in-100 year flood event. This means that, as the risks of flooding increase, many Townsville houses will be uninsurable or the owners will find cover unaffordable. “We strongly urge people to check with councils and insurers if their homes are in flood zones, and if they can expect long-term affordable cover. If not they should know they will have to plan for the risks on their own and think about adapting their homes for climate change.” [end of excerpt] Again, it reminds us that "adapting to climate change" isn't the panacea some have suggested. It almost always means more costs, less security, or both. The figures of 20% greater risk now, and 130% by the end of century are potentially useful rough guides. The article in full can be found at: https://www.theguardian.com/australia-news/2019/feb/20/townsville-homes-may-become-uninsurable-due-to-flooding-from-climate-change

Terry McGee Malua Bay

#Opinion

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