ARPC’s 2026 Financial Outlook Report
21 October 2026
Australian Reinsurance Pool Corporation (ARPC) today released its 2026 Financial Outlook Report (FOR).
The FOR provides a view of recent and projected financial outcomes, assesses the adequacy of premium rates and of reserves, and offers observations on capital management and on broader risks affecting the cyclone pool’s financial outlook.
Key findings from the FOR include:
- positive operating result of $701m for 2025-26 financial year
- net liabilities $33m
- current assets and future premiums could fund existing claims and an additional event of approximately $2.1b before other funding sources are required
- current premiums have been assessed as being adequate to meet the cyclone pool’s legislative objectives
- for the 2026-27FY there is a 10% chance the cyclone pool will have a net asset position of more than $700m
- for the 2026-27FY there is a 10% chance of a net liability position in excess of $1b.
Background
The FOR is an annual publication from ARPC. The FOR is provided to the Assistant Treasurer no later than 15 October each year and released publicly within 10 business days.
The cyclone pool was established in 2022 and covers cyclone and cyclone-related flood damage to insured Home, Strata, and Small to Medium-sized Enterprises. The pool is designed to improve insurance accessibility and affordability in areas with medium to high cyclone risk. All general insurers writing business in eligible classes in cyclone-prone regions joined the pool by 31 December 2024, as mandated.
For media inquiries, please contact Alexander Drake, Head of Public Affairs on (02) 8223-6777 or [email protected].