00:00This is the place Tammy Fogarty now calls home after a freak storm flattened her house
00:08last Christmas.
00:09It basically just ripped the roof off my house and flipped my front veranda into my lounge
00:14room.
00:15Her insurance is covering the cost of the rental while her house in the Gold Coast hinterland
00:20is rebuilt.
00:21The cash settlement that I've been offered will be covering all of that plus the rent
00:25in the house I'm in at the moment.
00:27A report from the Insurance Council of Australia has found stories of extreme weather like
00:32Tammy's are driving up the cost of home insurance.
00:36More than 150,000 claims were made in the past financial year, nearly 75% more than
00:44the previous year.
00:45Premiums are already rising but they're not keeping pace with payouts which have tripled
00:50over three decades.
00:52And floods are having the biggest impact.
00:55Flooding is our number one issue in Australia and the reason for that is we know that there's
00:59around 220,000 homes approximately that were built in a 1 in 20 flood zone or a 5% chance
01:06that they will flood every year.
01:08Christmas storms in Victoria, New South Wales and on the Gold Coast that saw flooding in
01:13undate homes and businesses were the costliest events last financial year, resulting in $1.3
01:20billion in claims.
01:22We've got to get back to the core of what we're dealing with here and that is an ageing
01:27stock of homes in this country built in some of the wrong locations that we can do a better
01:32job of protecting into the future.
01:35Tammy just hopes her insurance company helps her.
01:37They've been really good so far, they have been very proactive in getting things done
01:43so yeah I'm hoping that the premium doesn't go up too much.
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