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Statement From NRMA Insurance On Flood Insurance

The following statement is from an NRMA Insurance spokesperson.

In April 2018, NRMA Insurance updated its home and contents policy so that flood cover automatically includes loss or damage caused by flood, rainwater run-off and storm surge.

We opted all our customers into the new flood cover, so they could see and understand the level of flood risk at their individual property, reflected in their premium.

We made these changes to provide greater clarity for customers on what is covered if they suffer water damage. It also ensures we can process claims as quickly as possible without the delays associated with potentially multiple hydrology assessments to determine the type of water damage a customer has suffered.

After reviewing the information on the level of flood risk at their individual property, customers may have the option to opt-out, however, flood, rainwater run-off and storm surge cover can’t be removed individually.

Since we introduced the changes, if a customer calls to renew their policy they are reminded if they have opted-out of their flood, rainwater run-off and storm surge cover. There is also information and a reminder for customers if they choose to renew online. If a customer has chosen to opt-out of their cover, this is displayed on their renewal notice and certificate of insurance.

New customers are provided with information to help them consider their situation, should they have the option to opt-out.

Customers who opt-out of flood, rainwater run-off and storm surge will still be covered in the event that a storm damages their roof or windows and rainwater ingress damages their home and contents. 

Our focus is helping our customers who have been impacted by the recent devastating floods. Our teams are in the affected areas assessing the damage to properties and providing face-to-face support.

We’ve encouraged customers to lodge their claims as soon as possible so we can provide immediate support such as emergency payments and temporary accommodation while we assess their claim.

For customers who cannot live in their homes, we’re offering up to three months of temporary accommodation if they don’t have flood, rainwater run-off or storm surge cover.

The most critical way to make insurance more affordable and accessible for people and businesses is through greater investment in disaster mitigation initiatives, improved land-use planning and enhanced building codes.

Reducing the level of risk helps to protect lives and property. It also has additional benefits such as making insurance more affordable.