Media Release - Insurance crisis biting hard across Hinchinbrook

Published on 19 October 2026

Hinchinbrook Shire Mayor Ramon Jayo says local families are being pushed to breaking point by soaring insurance premiums, with new survey results revealing many residents are being forced to reduce cover, increase excesses, or consider going without insurance altogether.

More than 300 residents participated in Hinchinbrook Shire Council's 2026 Insurance Affordability and Availability Survey, painting a clear picture of the financial strain facing households across the region.

The survey found that 77.4 per cent of respondents believe insurance premiums have become unaffordable, while 42.5 per cent reported excesses are too high and 41.8 per cent said there is limited competition between insurers.

Mayor Jayo said the results confirm what Council has been hearing from the community for years.

“This isn't just about insurance policies. It's about families being forced to make impossible choices between protecting their home and paying everyday bills,” Mayor Jayo said.

“People are working hard, paying their rates, maintaining their properties and investing in resilience measures, yet many feel they are being penalised simply because of where they live.”

The survey revealed that cost is the single biggest reason residents are underinsured or uninsured, with more than 70 per cent of respondents citing affordability as the primary factor.

Many residents reported reducing their level of cover, increasing their excess, delaying home improvements, or cancelling insurance products altogether in an effort to keep costs under control.

Mayor Jayo said the emotional toll on families cannot be ignored.

“For most people, their home is their biggest asset. The thought of not being able to properly insure it causes significant stress and uncertainty,” Mayor Jayo said.

“We've heard from pensioners worried they won't be able to afford their next renewal, families struggling to absorb annual increases, and homeowners who feel trapped because they have few insurer options available to them.”

Flood insurance emerged as one of the strongest concerns raised throughout the survey.

Among residents who had experienced insurance difficulties, more than half were advised their property was located in a flood-prone area, while many expressed frustration that flood cover is often bundled into policies regardless of their property's individual history, elevation, mitigation works or resilience measures.

Mayor Jayo said many residents believe current pricing models do not fairly reflect the circumstances of individual properties.

“Our community is not asking for special treatment. They're asking for a fair assessment,” Mayor Jayo said.

“If someone has invested thousands of dollars elevating their home, improving drainage, strengthening their property against cyclones or undertaking mitigation works, they want those efforts recognised.”

The survey also highlighted widespread concern that insurance pricing is being driven by postcode rather than property-specific risk assessments.

Residents called for more transparency around premium calculations, greater competition within the regional insurance market, and the option to tailor flood cover based on individual circumstances.

Mayor Jayo said Council will use the survey findings to strengthen advocacy efforts with both government and the insurance industry.

“The message from Hinchinbrook is loud and clear. Our residents are hurting,” Mayor Jayo said.

“Rising insurance costs are placing increasing pressure on household budgets and, ultimately, on community resilience. We cannot allow regional communities to be priced out of protecting their homes and livelihoods.

“Council will continue advocating for meaningful insurance reform that delivers affordable, accessible and fair insurance outcomes for North Queensland residents.”

The findings of the Hinchinbrook Insurance Affordability and Availability Survey 2026 will be formally noted by Council at next week's Ordinary Meeting of Council and will help guide our ongoing advocacy with governments, industry stakeholders and insurance providers.