As the effects of Tropical Cyclone Alfred continue to impact New South Wales and Queensland, Southern Cross Travel Insurance (SCTI) has received multiple claims from affected travellers.
With widespread disruption and damage affecting both domestic and international visitors, the travel insurer has already paid out more than $12,000 to Australian customers.
Increasing travel disruption from extreme weather
SCTI chief executive officer Jo McCauley said the rise in extreme weather events due to climate change is leading to higher rates of travel disruption, both within Australia and internationally.
“In 2024, we saw a 16 per cent increase in disruption caused by natural disasters or severe weather events since we started tracking this issue in 2018. Each year since, weather conditions appear to be getting more extreme than the last. 2025 is already accounting for 9 per cent of 2024’s catastrophic claims, with Cyclone Alfred now adding further to this total,” McCauley said.
Despite the growing risk of travel disruption, SCTI’s latest Future of Travel research shows that many travellers underestimate the importance of domestic travel insurance. While most Australians recognise the need for insurance when travelling overseas, only 41 per cent consider domestic coverage a high priority.
Why domestic travel insurance matters
McCauley said travellers often think of medical costs first when considering insurance, but other expenses—such as rebooking flights or cancelling accommodation—can quickly add up.
“That’s why it’s so important to purchase travel insurance for both domestic and international journeys to protect against the unexpected,” she said.
SCTI’s advice for travellers caught in severe weather events
- Buy travel insurance early – Purchase a policy when booking your trip, not after an event has been announced. Insurance covers unexpected events, so travellers already in an affected area or who had a policy before the event may be eligible for claims.
- Follow official advice – If a disaster strikes, prioritise safety by following instructions from local authorities and emergency personnel.
- Check with airlines and insurers before changing travel plans – Airlines should be contacted first for rebooking options. If additional costs arise, check with your travel insurer before making changes to understand what is covered.
- Keep documentation – Save cancellation emails from airlines and receipts for expenses such as accommodation and meals, as they will be needed for claims.
