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The after-effects of Tropical Cyclone Alfred are still being felt in NSW and Queensland, with significant damage, high water levels and disruption experienced by locals and domestic and international travellers.

Southern Cross Travel Insurance (SCTI) has looked into related claims for customers from Australia to understand the impact. SCTI had a unique view as a travel insurer operating in New Zealand and Australia, with customers who were travelling across the Tasman to the region, and domestically within and between states.

Jo McCauley, CEO of SCTI says, “We have been happy to help a wide variety of customers from both markets and we’re seeing extreme weather events driving an increase in claims, so we’re keen for travellers to understand just how important it is to protect their investment in a long-awaited holiday.”

As of 13 March, SCTI had received 37 claims from Australian customers. So far, more than $12,000 has been paid out to support them.

McCauley says, “Extreme weather events caused by climate change are increasing and as a result, travellers are facing higher rates of disruption both internationally and domestically.

“In 2024, we saw a 16% increase in disruption caused by natural disasters or severe weather events since we started looking at this issue in 2018. Each year since, weather conditions appear to be getting more extreme than the last. 2025 is already accounting for 9% of 2024’s catastrophic claims with Cyclone Alfred now adding further to this total.”

According to recent SCTI latest Future of Travel research, travellers appreciate the need for travel insurance when going overseas but often don’t see the importance of domestic travel insurance with only two in five (41%) saying domestic travel insurance is a high priority for them.

McCauley says, “When people think of travel insurance, they often think of medical costs first, but while these can be costly, other issues such as changes to your journey e.g. rebooking airfares or cancelling accommodation, can incur costs which can quickly add up. That’s why it’s so important to purchase travel insurance for domestic and international journeys to protect against the unexpected.”