IAG response to 2022 flood review
IAG today welcomed the release of the Deloitte report into the CAT221 floods in southeast Queensland and northern New South Wales in 2022.
The report by Deloitte - The New Benchmark for Catastrophe Preparedness in Australia -was commissioned by the Insurance Council of Australia (ICA).
Deloitte examined the operation of eight insurers, including IAG, across home and contents, motor, and small business claims that were received from customers impacted by the CAT221 flood event in February and March last year.
Key findings in the report include the external factors that made responding to CAT221 challenging for insurers. The scale of the event tested claims processes at an unprecedented scale, and while improvements have been made by insurers as a result of lessons learned from CAT221, there is more work to do to improve customer outcomes.
Across its brands, IAG has received 45,000 claims due to the CAT221 event. IAG has finalised 95% of claims.
IAG Managing Director and CEO Nick Hawkins said: "The Deloitte report is an important opportunity for us and the industry to acknowledge where our response to these devastating floods could have been better and, through the recommendations, take the necessary steps to ensure we're better prepared for future events, so that our customers experience the best possible service and support.
"Over the past 12 months we have made a number of changes. These include better customer communications during major events, the speeding up of the building and repair processes and streamlining the claims process for customers. Guided by this report, more will be done.
"Natural disasters have long lasting impacts on Australian communities. The sheer destruction that can be caused during these events often has terrible physical, financial, and emotional impacts on many people.
"We have a well-established Major Event Plan and processes to ensure we are ready to support our customers before, during and after a severe weather or a major event."
"Our Major Event team is in place 24/7 and works closely with our Natural Perils team to make preparations with our claims teams and partner builders to have the resources in place when a severe weather event is forecast."Nick Hawkins
IAG Managing Director and CEO
"I'm grateful for the dedication of our teams across our company who support our customers every day, and I know they're particularly focused on their safety and welfare during major events. We'll continue to ensure they have the right resources and support so that our customers have the help they need to recover from severe weather."
The report makes seven recommendations for improvements, noting that not all recommendations will apply to all insurers to the same extent.
To view the report visit: www.insurancecouncil.com.au/2022FloodReview
