By Parker McKenzie
Information gleaned from a survey of residents and businesses in the Dandenong Ranges shows an increase in insurance premiums year-on-year for the past three years.
The survey has provided a look into the rising cost of insurance for people living in the Dandenong Ranges.
Many businesses and residents saw premiums rise in the wake of weather events in 2021.
The weather events did create an impact, with two commercial businesses – one in Olinda and another in Sassafras – seeing insurance companies double their premium for 2021/2022 compared to the previous two years.
Jeremy Francis – the owner of Cloudehill Gardens – was encouraged to gather the data by Yarra Ranges Council.
Mr Francis said the rising cost of insurance could create issues for the area if they aren’t addressed.
“If people start finding insurance costs too much of a burden, what happens to leave early policy? it’s out the window,” he said.
“If it means leaving the house, you’re going to lose everything that you spent your life up until then building, people are not going to leave.”
Dandenong Ranges resident Julie Stanley said after she made a claim during the storm events in 2021, her insurance premium increased by nearly $2000.
In response to the increase, she posted on a community Facebook group to see if it was a common experience for people after the storms.
“It’s pretty rare to find insurance premium come down and for them to assess the risk is lower,” she said.
“Some of those people were saying that their policies have gone up 50 per cent.”
She said insurance companies will often not insure people who have made a claim in the past three years, and with two storm events in the space of a few months, this could stop people from having access to insurance.
“Now, insurance companies generally will cap your claims at three in a three-year period,” she said.
“They may pay it out, but then they’ll cancel your insurance policy. When you think well, I’ll go and get insurance from somebody else, it would be incredibly hard,
“I haven’t come across one insurance company, and I’ve shopped around pretty extensively, that will take you on if you’ve had a claim in the last three years.”
