Queenslanders are no strangers to extreme weather, with almost four in five Queenslanders (79 per cent) reporting that they have experienced the impact of severe storms, heatwaves or flooding.
Yet new research from RACQ Insurance suggests many households may still be leaving themselves financially exposed, with just 46 per cent of Queenslanders saying they regularly keep their insurance policies up to date. While preparing your home for severe weather often means clearing gutters, securing loose items or checking for potential hazards, there’s another important part of being prepared that can easily be overlooked: making sure your insurance cover reflects what your property would actually cost to rebuild today.
Your property’s value isn’t just about what it could sell for
With construction, labour and material costs continuing to rise, the cost of rebuilding a home can be significantly different from what it may have cost when your insurance policy was first taken out. This is particularly important for established homes, where renovations, extensions, new kitchens, bathrooms, landscaping or other improvements may have increased the overall value of the property, and potentially the cost of reinstating it after a major event.
Understanding your property’s current market value can also be a useful part of this conversation. While your property’s market value and rebuild cost are not the same thing, knowing where your property sits in the current market can prompt an important review of whether your insurance details and replacement-cost estimates are still appropriate.
RACQ Insurance recommends treating insurance as something to review regularly rather than a “set and forget” purchase, particularly after significant changes to your property or circumstances.
For homeowners, it can be worth taking the time to check your policy, review your coverage limits, update any property details and ensure your sum insured reflects current rebuilding costs.
Because when the unexpected happens, the last thing you want is to discover your cover hasn’t kept pace with your home.
Not sure what your property is worth in today’s market?
I can provide an obligation-free market appraisal, giving you a clearer picture of your property’s current market value and helping ensure you’re making informed decisions about your home.
Byrony O’Neill
0412 132 480