Cash settlements on home insurance claims leaving vulnerable Australians short-changed, Asic says

Asic reviewed a sample of home building insurance claims from Cyclone Jasper, which hit far north Queensland in December 2023. Photograph: Brian Cassey/AAP

Home insurers are overwhelmingly paying cash to settle claims, leaving Australians to foot blowouts in repair costs for their cyclone-damaged homes.

The corporate regulator is calling for “realistic” bigger payouts, warning the practice could cause “unfair outcomes” for people already in vulnerable positions.