Cyclone Pool continues to deliver premium relief and insurance access in high-risk areas

15 October 2025 

Australian Reinsurance Pool Corporation (ARPC) has published its latest premium assessment report for the Cyclone Reinsurance Pool, using insurer quote data to evaluate how the cyclone pool is delivering on its legislative objectives. 

Since the introduction of the cyclone pool, average Home insurance premiums in the highest cyclone risk bands have fallen by 37 per cent. Insurer quote success rates have also improved significantly—from 66 per cent before the pool to 84 per cent in April 2025. Medium-risk areas have similarly benefited, seeing consistent premium reductions and improved access to quotes. 

Additionally, SME Buildings and Contents premiums in high-risk areas have decreased by 48 per cent, with a further 25 per cent reduction observed over the past six months. 

The report shows that the cyclone pool continues to deliver on its legislative objectives, with significant premium reductions and stable insurance availability for policyholders in medium and high cyclone risk areas. 

ARPC Chief Executive Dr Christopher Wallace said: “These results demonstrate the cyclone pool’s continued success in improving insurance affordability and access for households and small businesses in cyclone-prone regions.” 

The analysis is based on new business quotes from seven major insurers, covering both Home and SME policies, and uses consistent risk profiles to track changes in premiums and quote success rates over time. 

ARPC’s previous assessment was conducted in January 2025. Since then, average Home policyholder premiums and quote success rates have remained broadly stable across higher risk regions. 

The cyclone pool covers cyclone and cyclone-related flood damage for eligible Home, Strata, and SME properties. Premium rates are set by ARPC in line with legislative objectives under the Terrorism and Cyclone Insurance Act 2003. 

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