ARPC announces full participation of mandated insurers in cyclone pool

2 January 2025

ARPC is pleased to announce that all mandated insurers – both small and large* – have joined the cyclone pool. The milestone marks a significant achievement in bolstering availability and affordability of cyclone insurance for households and businesses facing high cyclone risk across the country.

The cyclone pool, which commenced operating in July 2022, was introduced to lower insurance premiums by reducing the cost of reinsurance for insurers in cyclone prone areas, a significant contributor to higher insurance premiums in northern Australia.

Dr Christopher Wallace, ARPC Chief Executive, said: “We are thrilled the cyclone pool has achieved this significant milestone with all small and large general insurers joining as required by legislation. This participation ensures that the cyclone pool will strengthen the ability of insurers to offer more affordable cyclone insurance to homeowners, small businesses and communities that might otherwise face higher premiums or limited access to coverage.”

Participation in the cyclone pool is mandatory for Australian general insurers with eligible cyclone pool insurance contracts under the Terrorism and Cyclone Insurance Act 2003 (TCI Act).

Visit ARPC’s directory for a list of insurers who have joined the cyclone pool.

For media inquiries, please contact Alexander Drake, Head of Public Affairs and Communications on (02) 8223-6777 or [email protected].

* ‘Small’ insurers as defined in the TCI Act are those with $10 million to $300 million gross written premiums in householders’ insurance. These insurers were required to join the cyclone pool before 31 December 2024. ‘Large’ insurers, those with $300 million or more gross written premiums per annum in householders’ insurance, joined the cyclone pool by 31 December 2023.