Last week’s savage rainstorm in Melbourne’s northern suburbs will cost insurers at least $75 million, according to the Insurance Disaster Recovery Organisation (IDRO).

Peter Jamvold, IDRO’s Victorian co-ordinator – who is also the Insurance Council of Australia's Group Manager Southern Division, says insurers are already processing more than 25,000 claims for homes and businesses. The losses are “well within” insurers’ expectations.

“This was the biggest storm to hit Melbourne in more than 30 years, with the previous largest loss being $24 million in 1989,” he said. “Strong winds, hail, flash flooding, and overflowing drainage systems caused widespread damage.”

Mr Jamvold says many insurers have called in additional resources to deal with the influx of calls and to expedite claims. He told policyholders through the press that they should be patient when attempting to get through to insurers, with 24-hour hotline numbers banked up with calls.

The Victorian Government pledged to help the storm victims, offering $900 grants for those in need of immediate emergency assistance. Some victims may be eligible for grants of up to $7300.

(The Sunrise Exchange News office didn’t escape the deluge, with the editor’s computer slated to become the office fish tank.)