Getting the keys to the first place you’ve ever rented or stepping onto the property ladder as a new homeowner is a major milestone. But once the excitement settles and the direct debit for that new home insurance policy you’ve set up kicks in, a bigger question might loom: If severe weather strikes, do you know what you’re actually covered for?
If the answer is no, you’re not alone. An Australian Securities and Investments Commission (ASIC) review of home insurance claims revealed that extreme weather frequently exposes an insurance-knowledge gap, with many Australians failing to understand their policy’s fine print until they actually try to claim for storm damage.1
For example, does home insurance cover flood damage? What about if your roof starts leaking in a storm, or your fridge contents get spoiled in a blackout caused by a storm? If you’re renting, will your landlord’s insurance cover your contents if they’re damaged in a bushfire or do you need renters home insurance for that? And what’s the difference between “floodwater” and “rainwater”? the difference between “floodwater” and “rainwater”?
To help you build your insurance literacy before storm or bushfire season arrives, we’ve put together this guide to home insurance for first-time buyers and renters. In it, we’ll answer all of the above questions and more, starting with which insurance policy is designed for your specific set-up.
Will my home insurance policy cover my stuff?
The answer can depend on whether you have building insurance, contents insurance or both – bearing in mind that the type of cover which might suit you best can hinge on whether you’re a tenant, a landlord or living in a property that you own. Here’s how it typically works.
If you live in a property you own
A home and contents insurance policy can cover both your building and your contents.2
If you’re renting
While insuring the building is your landlord’s responsibility, their policy won’t cover your personal items, such as your clothing, furniture and appliances. A contents insurance policy can plug that gap by covering your belongings.2
If you’re a landlord
A building insurance policy can cover your investment.3 If you’re renting your investment property out fully furnished, contents insurance can cover your belongings, such as your furniture, kitchenware and ornaments.2 However, it’s worth noting that if you have a Building policy with Youi for a property you’re renting out as a landlord, some of the furniture and furnishings you’ve left in the property for your tenants may already be covered.4
A note on strata properties
If you own an apartment or unit that’s under a strata title, the body corporate may be responsible for insuring the building, regardless of whether you’re living in the property or renting it out. This means you may not need building insurance yourself but may still want to consider getting contents insurance to cover your belongings.2
Natural disaster scenarios – what does my home insurance cover?
Extreme weather can be unpredictable and may cause damage ranging from a few missing roof tiles to a completely flooded living room. So, to help you sidestep surprises at claim time, we’ve answered some common “Am I covered?” and “What if?” queries.
Am I covered for storm and flood damage?
It depends on whether your insurance policy specifically includes cover for storms and floods5 as these are typically regarded as different types of insured events.6 We explain the difference between the two, and why it matters, a little further down.
Meanwhile, you can check the Product Disclosure Statement (PDS) to find out if you’re covered for either or both types of events.5
At Youi, cover for loss or damage caused by a flood or a storm is included as standard in both our Building and Contents insurance policies.7
Am I covered if a neighbour’s tree falls on my house during a storm?
If the tree was healthy and in good condition before it fell, your neighbour may not be liable for any damage to your property, as liability will depend on the specific circumstances.8 Instead, you may need to rely on your own home insurance if you want to make a claim.8
If you have a Building insurance policy with Youi, any damage caused to your property’s structure by the impact of the tree is covered.9 If you have a Contents insurance policy with Youi, any damage the impact causes to your belongings, for example if your television, couch or computer is destroyed, is also covered.9
We’ll also cover the cost of removing fallen trees and branches that have damaged your property.9
Am I covered for smoke damage caused by a bushfire?
It depends on your policy. Some insurers may exclude damage caused by smoke unless flames from the bushfire actually reach your home.10
At Youi, cover for loss or damage to the insured property caused by smoke or soot from a bushfire is included as standard in both our Building and Contents insurance policies.7
Am I covered if water leaks through the roof during a storm and damages my ceiling?
It may depend on whether the water has entered your building due to damage to your roof caused by the storm or because of general, pre-existing damage or wear and tear that was present prior to the storm.5
According to ASIC, many Australian policy-holders don’t realise their insurance policy usually requires them to keep their home well maintained – or that a claim may not be approved if the damage being claimed for is deemed to be the result of wear and tear or a lack of general upkeep, rather than storm damage.1
At Youi, storm damage is included as standard in both our Building and Contents insurance policies7 – and it’s also a policy-holder’s responsibility to keep their property in good condition.11
What if heavy rain floods my home during a storm?
As you might expect, whether you’re covered depends on what your insurance policy includes.5 But, while it might sound natural to say that your home flooded in this situation, it’s worth noting that insurers typically distinguish between “rainwater” and “floodwater” in their policies.6 Here’s how to tell the difference:6
Rainwater is water that falls from the sky and runs off over the surface of the land.
Floodwater is water that escapes or is released from rivers, lakes, channels, dams or canals and covers land that’s usually dry.6
So, in this situation, the water that’s entered your home would generally be classified as rainwater or stormwater, rather than floodwater.6
At Youi, Building and Contents insurance policies include cover for stormwater damage, where stormwater is the overflow from rain in roof gutters and their downpipes, or the area immediately surrounding your premises.7
Am I covered if severe weather causes a blackout and food in my fridge spoils?
It depends on whether you have contents insurance, whether that insurance includes food as “contents” and whether the policy includes storm as an insured event.5
At Youi, food is classified as a contents item, so you may be able to lodge a claim under a Youi Contents policy for any loss or damage to the food in your fridge if a storm triggers an extended power outage.7
However, regardless of who you’re insured with, bear in mind that if the cost of replacing the spoiled food is less than paying your excess amount, you may decide it’s not worth making a claim.12
What if my home is uninhabitable after a natural disaster?
Your home insurance policy might include cover for you to live elsewhere if your house becomes uninhabitable due to an insured event,13 such as a bushfire or flood. You can check the PDS for details.14
At Youi, temporary accommodation is included as standard in both Building and Contents insurance – but cover works slightly differently depending on your situation:
- If you can’t stay in a house that you own and have been living in prior to the event that caused the damage, and you have a claim accepted under your Youi Building insurance policy, we’ll cover the cost of temporary accommodation for up to 12 months while things get sorted.15
- If you can’t live in a strata title property that you own due to damage caused by a severe weather event, and you have a claim accepted under your Youi Contents insurance, we’ll cover your temporary accommodation costs for up to 12 months.16
- If you can’t live in a property that you’re renting due to damage caused by the event, and you have a claim accepted under your Youi Contents insurance, we’ll cover up to one month of additional rent costs that you incur.17
How to review your natural disaster home insurance
Should you ever need to make a claim on your policy, bear in mind that by that stage, it’s generally too late to change your insured amount or the specific events you’re covered for.18
So, before heavy clouds roll in or temperatures spike, as well as learning some practical tips that could help when a storm’s forecast, you might like to check whether your insurance cover suits your needs.
Check your sum insured
Your policy’s sum insured is the maximum amount that your insurer will pay for a claim.14 You might like to check that it’s still enough – for example, does your building sum insured reflect any changes you’ve since made to your property?2 And does your contents sum insured account for new belongings you may have purchased?19 If your sum insured isn’t adequate, there’s a risk your home might be underinsured.2,19
Check for key inclusions
For example, if you live in a bushfire-prone area, you might like to make sure that your policy definitely includes cover for damage caused by bushfires.18 Likewise, if you live in an area where there’s a risk your property might flood, it could be worth double-checking that your policy includes cover for flood damage.18
Check the waiting periods
Most insurers in Australia impose waiting periods after you’ve made certain changes to your policy.20 Being aware of these ahead of time may help you avoid gaps in your cover.
At Youi, when you’ve increased your sum insured or reduced your excess within 72 hours of a flood, storm, hail or bushfire occurring, cover will be limited to the amount that was effective prior to the change.7
And, while cover for flood, storm, hail or bushfire is included as standard in Youi’s Building and Contents insurance, damage caused by one of those events is excluded in the first 72 hours of your policy, unless certain conditions apply.7
FAQs about making your first natural disaster home insurance claim
If you haven’t made a home insurance claim before, knowing what to expect might make a difference down the track. Here are the answers to some questions you might have.
How do I make a claim?
Most insurers have simple instructions available online that can help step you through how to make a home insurance claim.21
If you’re insured with Youi, you can lodge a claim – and track its progress – on our website or app anytime. Prefer to speak to someone to get your claim started? You can give us a call on 13 9684.
What should I document after an event?
Once it’s safe to do so, it’s a good idea to document the damage you’ll be claiming for, by taking photos and videos.21
Ideally, your insurer should have the opportunity to assess any damage that you intend to claim for before you repair, sell or dispose of any damaged property. It’s also a good idea to talk to your insurer before you clean anything, but if emergency repairs are required before your insurer starts their process – for example, boarding up a door to prevent further loss or damage – take photos before and after.12,21
What is excess in home insurance? And when do I have to pay it?
The excess is the amount you must pay towards an insurance claim. The amount you’ll need to pay will be specified in your insurance policy.21
If you’re insured with Youi, you don’t need to pay any excess until your claim has been accepted and the repairs are ready to begin.
Is there a time limit for making a natural disaster home insurance claim?
Not all insurance policies impose time limits, but some do. If time limits do apply to your cover, you’ll find this information listed on your policy.21
At Youi, we don’t apply specific time limits to home and contents insurance claims – however, it’s a condition of your cover that you let us know about any incidents covered by your policy as soon as practically possible.11
Additionally, some late claims may attract a delayed notification storm excess. This is an additional home insurance excess that may be applied to storm claims that are made more than 90 days after the event.11
For more expert tips to help you plan for severe weather, visit our you.prepared emergency content hub.
And, to explore whether one of Youi’s home insurance options could be a good fit for you, you might like to consider starting a quote.
The content in this article has been prepared based on current government and emergency services guidelines and expert advice provided at the time of publishing. This information is subject to change. Please be sure to check for the latest information and always consider your personal circumstances regarding home safety preparedness and response.
Where you have increased your Youi insurance cover or reduced your excess within 72 hours (or other period noted on your policy schedule) of a flood, storm, hail or bushfire occurring, cover will be limited to the amount that was effective prior to the change. Loss, damage or legal liability caused by, resulting or arising from flood, storm, hail or bushfire during the first 72 hours (or other period noted on your policy schedule) of your policy first being purchased is excluded unless certain conditions are met. Refer to the relevant Product Disclosure Statement for full T&Cs.
1. Source: Australian Securities & Investments Commission – Navigating the storm: ASIC’s review of home insurance claims, August 2023
2. Source: Moneysmart – Choosing home insurance, July 2026
3. Source: CHOICE – How to find the right home and contents insurance policy, December 2025
4. Exclusions and/or limits apply. See the PDS for full details.
5. Source: Legal Aid New South Wales – Insurance check up – Storm or Flood, February 2020
6. Source: Disaster Legal Help Victoria – Insurance – storms and floods, August 2025
7. Where you have increased your sum insured or reduced your excess within 72 hours of a flood, storm, hail or bushfire occurring, cover will be limited to the amount that was effective prior to the change. Loss, damage or legal liability caused by flood, storm, hail or bushfire during the first 72 hours of your policy first being purchased is excluded unless certain conditions apply. Exclusions and limits may apply. For full details, see the PDS, TMD and your policy schedule.
8. Source: Financial Rights Legal Centre – Tree damage in a Storm, December 2024
9. Limitations and exclusions apply and there are waiting periods or additional fees for certain types of cover. Full details are in the PDS and TMD, which we recommend you consider before making any decisions regarding our products.
10. Source: Legal Aid New South Wales – Insurance check up – Bushfire, February 2020
11. Exclusions, limits and additional fees may apply. For full details, see the PDS.
12. Source: Moneysmart – Making an insurance claim, July 2026
13. Source: Legal Aid New South Wales – Insurance claims after a disaster, October 2023
14. Source: Insurance Council of Australia – ABC’s of General Insurance, n.d.
15. For owner occupied homes, we will pay the actual cost you incur for temporary accommodation for up to 12 months if you cannot live at the premises after an insured event. The most we will pay for each claim is 10% of the buildings sum insured. Limits and exclusions apply. See the PDS for full details.
16. Where the premises is a strata title building and a body corporate is responsible for taking out building insurance, we will pay the actual cost you incur for temporary accommodation for up to 12 months if you cannot live at the premises after an insured event. The most we will pay for accommodation on each claim is 10% of the contents sum insured. Limits and exclusions apply. For full details, see the PDS.
17. Where you are the tenant at the premises, we will pay for the additional rent costs you incur for temporary accommodation for up to 1 month if you cannot live at the premises after an insured event. The most we will pay for each claim is 1% of the contents sum insured. Limits and exclusions apply. For full details, see the PDS.
18. Source: Financial Rights Legal Centre – Home or Contents Insurance Claims, December 2024
19. Source: Moneysmart – Contents insurance, August 2026
20. Source: Canstar – Home Insurance Comparison, September 2026
21. Source: Moneysmart – How to make a home insurance claim, August 2026
