News

Homeowners "flabbergasted" with spiking insurance rates

Tom O'Dea can not see how insurance companies can justify the increases in home insurance premiums. Photo: Chris Ison / The Morning Bulletin
Tom O'Dea can not see how insurance companies can justify the increases in home insurance premiums. Photo: Chris Ison / The Morning Bulletin Chris Ison

TOM O'Dea wanted to reach for his antacid tablets when he received his latest house and contents insurance bill.

The Yeppoon beachfront resident remains "flabbergasted" as to why his home insurance premiums have increased by more than 110% over the past two years.

Last year his premium was $748. That has risen to $1266 this year.

In the past week The Morning Bulletin has received a number of complaints from residents around insurance premium hikes this year.

"Last year I had a 40% increase, no flooding, no cyclone and no claims whatsoever, but this year's 70% certainly takes the cake," Mr O'Dea told The Morning Bulletin.

"Of course we all realise the costs of Queensland floods particularly, has to be offset to some extent as insurers need to remain viable but it's flabbergasting to think their premiums can increase in the order of 110% over a two-year period.

"Then there's the little letter which comes with your renewal notice hailing the fact that you are now all covered for flooding and water runoff ... most of us will never be affected by either."

How to fight the hikes.

Sign the online petition protesting devastating insurance increases.

Go to www.change.org/queenslandinsurance

One Rockhampton man said the insurance for his $350,000 investment home at Emu Park had doubled from $900 to $1800.

The annual premium for his $550,000 North Rockhampton home had also jumped from $1800 to $2300.

"I questioned the insurer about both increases and they said it was due to increased flood and cyclone risk in the region," the man said.

"My Rocky house is on a hill and can't be flooded but I guess the Emu Park home is a legitimate cyclone risk. I am shopping around for a better deal."

Piranha Insurance broker Nathan Peirano said some insurance companies had hit their customers with flood cover, even if they weren't living in flood-prone areas.

He said the hikes were a result of a number of weather-related incidents around the country.

"Some insurance companies aren't increasing their premiums for cities and regional centres north of Bundaberg," said Mr Peirano.

"It has taken insurance companies about 18 months to decide how they would treat these disasters."

He advised customers to "shop around" with other home insurance providers.

RACQ Executive Manager Insurance Communications Mike Sopinski said all RACQ Insurance customers now had standard flood cover as part of their household insurance policy.

Topics:  cyclone, emu park, flood, insurance, premiums, yeppoon




Stay Connected

Update your news preferences and get the latest news delivered to your inbox.

Students baling out farmers in need

Broadwater State School students and Terry Byrnes from Buy a Bale are thanking everyone for their support.

Students have raised money to help 'bale' out farms

Darryl Evans calls a spade a tool

AGENT EVANS: Darryl Evans has watched the town change

Mr Evans has no fear about speaking his mind.

Agro’s back in Warwick for adults-only show

AGRO'S BACK: Australian TV icon Agro and his mate Jamie Dunn will be in Warwick for their Agro Up Late show on Saturday night.

Agro Up Late coming to Warwick RSL

Latest deals and offers


She’ll be apples in Stanthorpe as festival kicks off

Jonathan Apple, festival president John Thouard, former Young Ambassadors Miriam Spina and Taylah Wantling and Isabella Grape welcomed the start of the 2016 Festival.

It’s a great start for the 10 days of festival ahead'

Sale nears on last large block of land in Coolum

The 43.37ha property on South Coolum Rd has sold.

South Coolum Rd property to be land banked

Caloundra’s former Centrepoint Buffet site up for sale

FOR SALE: The home of the old Centrepoint Buffet

Restaurant fined for unhygienic practices closed months ago