Damage Runs Into Tens Of Millions
Sydney Morning Herald
Thursday December 27, 2001
The insurance industry estimates the bill from the fires will run into tens of millions of dollars but the scale of the damage has not reached that caused by the 1994 NSW fires.
About 140 buildings (including houses and shops) are believed to have been lost. By comparison, the 1994 bushfires destroyed or damaged 400 homes at an insured value of $50 million, the Insurance Council of Australia said.
A council spokesman said late yesterday that it was too early to put an exact figure on the destruction.
``There is still a big question mark over what will happen from here and whether fires will be contained or not," he said.
``But, at this stage, it seems we are not talking about whole suburbs like we were in 1994."
The industry has been in regular contact with emergency services but the Insurance Disaster Response Organisation has not been called upon to facilitate industry-wide action for fire victims.
The organisation co-ordinated insurance activities in the wake of the 1994 bushfires.
``It's not got to the stage where we will do anything co-ordinated yet, but we are monitoring the situation closely," the council spokesman said.
The collapse of HIH should not cause any problems for fire victims because HIH policies were picked up by other insurers, he said.
``No domestic policy holders were left uninsured [after the collapse of HIH]," he said.
Those suffering property loss or damage were advised to contact their individual insurer.
NRMA, the state's biggest general insurer, had received 70 bushfire-related calls by yesterday afternoon and expects that figure to rise in the next few days.
``Some are for total losses and some are just for damage but, until our assessors put in reports over the next few days, we will not be sure of the value of the damage," an NRMA insurance spokesman said.
NRMA assessors have been at work since Christmas Day and are also assisting victims with alternative accommodation.
However, the spokesman said the volume of calls so far was less intense than in 1994.
``At the moment, this is not a major event compared to the fires of 1994," he said.
© 2001 Sydney Morning Herald