The Australian Reinsurance Pool Corporation (ARPC) has recorded a major milestone in its cyclone reinsurance pool operations, with total claim payments surpassing A$1bn ($703.4m) since the initiative was launched.
Since its inception, ARPC has made claim payments related to 20 declared cyclones, supporting residential, small and medium-sized enterprise (SME), and strata policyholders in northern Australia. Most of these payments are tied to Tropical Cyclone Alfred, which struck Australia in March 2025, leading to an estimated A$1.5bn in insured losses. It was one of Australia’s costliest weather events.
Commenting on the achievement, ARPC CEO Dr Christopher Wallace said the development reflects the pool’s role in boosting the resilience of high-risk areas against cyclones and helping to dampen insurance costs in higher-risk regions.
“Passing $1bn in claim payments is a significant achievement for the scheme, and more importantly, for the communities it was designed to support,” said Dr Wallace.
“The cyclone pool was established to lower insurance premiums for households, small businesses, and strata properties in medium-to-high cyclone risk areas by providing insurers with affordable, government-backed reinsurance. This milestone demonstrates that the pool is working as intended – delivering timely, reliable support following severe cyclone events,” he added.
With this, ARPC has pledged to focus on enhancing operational efficiency, maintaining responsive claims processes, and supporting targeted mitigation activities that improve the long-term risk profile of properties across cyclone-exposed regions.