Australia’s climate is influenced by two alternating weather patterns, La Nina and El Nino.
These weather patterns are measured by the Southern Oscillation Index, which records interactions between the atmosphere and the ocean air.
Australia is presently experiencing a La Nina event, which involves cooling ocean surface temperatures in the central and equatorial eastern tropical Pacific Ocean, alongside high winds, low pressure systems and higher rainfall.
It may also mean more frequent storms, floods and cyclones, especially across NSW, Queensland and the Northern Territory. The Queensland floods of 2010 to 2011, the NSW and Queensland floods of 2022 and Cyclone Yasi in 2011 all occurred during La Nin~a cycles.
La Nin~a is only one of a number of different variables that influence the climate and the weather. Barometric pressure and local geography are just two of the other factors that come into play.
An understanding of weather patterns enables businesses whose operations are influenced by weather such as agriculture, construction and tourism to plan ahead, so when reasonably predictable weather events occur, they are prepared.
WHAT INSURANCE SHOULD YOU TAKE OUT – AND WHAT CAN IT COVER?
CASE STUDY
Sam runs a café on a river in Southern Queensland. A La Niña event brings excessive rainfall, causing the river to burst its banks and flood. The flood water inundates the café, damaging stock, fixtures and fittings. But as Sam had added a flood extension and business interruption to his business pack policy, he was fully insured for both the physical damage caused to his business and the loss of trade.
LIMITS, EXCESSES AND EXCLUSIONS
Policy exclusions, the excesses you need to pay and limits of liability can vary greatly depending on your insurer and the requirements of your business. Contact your AIB insurance expert to discuss the options recommended for your specific circumstances.
