Insurance claims from Australian bushfire reach $700 million

The tragic bushfires that conquered Australia in recent weeks are having huge insurance implications.

Tags: Australia
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The tragic bushfires that conquered Australia in recent weeks are having huge insurance implications with the current figure at $700 million and rapidly increasing.

With thousands of people losing their homes and businesses, the country will take years to recover from fire blazes the size of Netherlands, or 3 times the size of Wales.

Many insurance policies will not pay out "acts of god" but many have been able to claim for home, contents, and buildings damage and the millions of tourists overseas who have had to cancel their travel plans.

There is also the surge of people needing to claim on their health insurance policies from the rise in smoke- and asthma-related illnesses.

Prime Minister Scott Morrison and Treasurer Josh Frydenberg will meet with the Insurance Council of Australia and bank chief executives to discuss the response to the bushfire crisis.

The prime minister pledged on Monday a $2 billion relief package to be injected into a national bushfire recovery fund over the next two years.

Scott Morrison said the surplus was "no focus" of his and emphasized he'd meet whatever cost necessary to help Australians get "back on their feet".

"What I envisage is guaranteeing to the Australian people at this time of crisis that we will meet every cost that needs to be met," he said on Monday.

In other insurance news, British Airways is no longer able to travel with carry-on dogs and has highlighted that passengers must have separate policies for transporting dogs and cats since these are not covered in general individual travel policies.

Furthermore, Just Travel Cover has set up a new partnership with specialist national broker Forces Solutions and independent insurance comparison site Forces Compare, designed to make it easier for serving members of HM Forces, associated civilians, veterans and their families to find military travel insurance and general cover.