Catastrophe data specialist Perils says insured losses from Cyclone Alfred have passed $2.56 billion – making it the largest cyclone loss event since Tracy hit Darwin in 1974.

Alfred made landfall in southeast Queensland on March 7 at category 1, after peaking at category 4 while offshore. It was quickly downgraded but Perils says the storm “carried substantial tropical-sourced moisture into the southeast Queensland and northeast NSW regions”.

The Perils loss estimate, which will be updated on June 12, covers the property and motor hull lines of business.

“A combination of the storm’s slow-moving progress and the topography inland from the coast enhanced rainfall, leading to torrential downpours, tremendous 24-hour rainfall totals, and extensive riverine and flash flooding,” Perils says.

Alfred left more than 300,000 homes and businesses without power and caused severe damage to Gold Coast and Sunshine Coast beaches. There was one death and major disruption to transport, including the suspension of flights and closure of schools. 

“It has been over 50 years since a cyclone travelled so far south to make landfall at the Gold Coast and its surrounding regions, the last cyclone being Wanda in 1974,” Perils head of Asia-Pacific Darryl Pidcock said.

“Losses were caused by a mix of wind and protracted heavy rain-related damage, including a high volume of claims from food spoilage due to the power outages, water ingress and storm surge property damage and some flood-related losses.

“In some respects, this event has features similar to a severe convective storm, with strong winds and intense rainfall, albeit over an extended period. 

“In terms of historical loss events, Cyclone Alfred is the largest cyclone loss event on an as-if-today basis to impact the Australian insurance industry since Cyclone Tracy in 1974.”

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