Insurance after a bushfire

Insurance steps after a bushfire

The Insurance Council of Australia is the representative body for the general insurance industry of Australia, and provides insurance advice on what to do after a bushfire.

If you have evacuated, you should not return home until you are advised it is safe to do so.

You should contact your insurance company as soon as possible to seek advice about the claims process, this includes:

• Speak to your insurer before you attempt or authorise any building work, including emergency repairs, and ask for the insurer’s permission in writing. Unauthorised work may not be covered by your policy
• If your home is unsafe, notify your local authorities and check with your insurance company whether you can claim temporary housing expenses
• You can remove and discard any damaged goods that pose a health risk, such as carpets or soft furnishings, but take photos and keep samples of materials and fabrics to show the assessor
• Keep any items that could be repaired and if in doubt speak to your insurer
• Do not be concerned if insurance documents are not readily at hand. Insurers keep records electronically and require only your name and address in order to find a policy
• If you are in urgent financial need you can ask your insurer to fast track your claim and make an advance payment within five business days of you demonstrating your urgent financial need. Any advance payment may be deducted from the total value of your claim
• If your claim has been finalised within one month of the disaster, your insurer must give you six months from the finalisation date to ask for a review of your claim (for instance, if you think the insurer has not accurately assessed your loss), even if you have signed a release.

(Source: Insurance Council of Australia)

Making a bushfire related insurance claim

If you have evacuated, you should not return home until you are advised it is safe to do so. The Insurance Council of Australia recommends you contact your insurance company as soon as possible to seek advice about the claims process:

• Speak to your insurer before you attempt or authorise any building work, including emergency repairs, and ask for the insurer’s permission in writing. Unauthorised work may not be covered by your policy.
• If your home is unsafe, notify your local authorities and check with your insurance company whether you can claim temporary housing expenses.
• You can remove and discard any damaged goods that pose a health risk, such as carpets or soft furnishings, but take photos and keep samples of materials and fabrics to show the assessor.
• Keep any items that could be repaired and if in doubt speak to your insurer.
• Do not be concerned if insurance documents are not readily at hand. Insurers keep records electronically and require only your name and address in order to find a policy.
• If you are in urgent financial need you can ask your insurer to fast track your claim and make an advance payment within five business days of you demonstrating your urgent financial need. Any advance payment may be deducted from the total value of your claim.
• If your claim has been finalised within one month of the disaster, your insurer must give you six months from the finalisation date to ask for a review of your claim (for instance, if you think the insurer has not accurately assessed your loss), even if you have signed a release.

(Source: Insurance Council of Australia)

Making a bushfire related insurance complaint

If you’re unhappy with the processing or outcome of your insurance claim you should make a formal complaint to your insurer.

If you’re unhappy with the outcome of your complaint to your insurer then you can lodge a dispute with the Australian Financial Complaints Authority (AFCA). The AFCA will offer free dispute resolution services. If both parties can’t come to an agreement through this process they may then investigate the complaint and make a decision.

(Source: Australian Financial Complaints Authority (AFCA)

Bushfires and insurance claims - Your legal rights after a natural disaster

Legal Aid Queensland has published a fact sheet titled Bushfires and insurance claims - Your legal rights after a natural disaster (PDF) which covers the following:

• Can I clean up and make emergency repairs before making a claim?
• Do I need a copy of my insurance policy to make a claim?
• My policy is for “sum insured”. What does that mean?
• My insurance policy lapsed just before the fire/I took out insurance just before the fire. Am I still covered?
• I forgot or didn’t pay my premium. Am I still covered?
• What preparation should I do before making a claim?
• Can I claim over the phone?
• I need money urgently. Can my insurer help?
• What should I expect from the insurance assessor’s visit?
• How long will the claim process take?
• Should I accept the rebuild option or take a lump sum payment?
• If I rebuild, will my insurer cover extra costs so my home meets new building code requirements?
• My claim has been refused. What can I do?
• Where to get help

Queenslanders can get free legal information and advice from Legal Aid Queensland by calling 1300 004 924 (local call cost if you are calling from a landline) from anywhere in the state. First Nations people can access the Indigenous Hotline on 1300 650 143.

To find out more information about bushfires and insurance claims, and getting legal help after a bushfire, visit www.legalaid.qld.gov.au/bushfires.