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Cyclones expected to be less frequent this year

28 October 2014

Investing in business insurance can be a great way to protect against the long-term consequences of extreme weather events. Fortunately for Australia, the conditions characterising this year's weather events will most likely translate to fewer cyclones, but that doesn't mean it's time to stop being vigilant.

Predicting average or below-average numbers of cyclones in the coming season, the Bureau of Meteorology released its Tropical Cyclone Outlook for 2014-15 on October 13. The report explained that there's a 50 per cent chance that El Nino will develop during the next few months, which usually means a lower number of cyclones.

Nonetheless, the Bureau's experts emphasised the importance of staying prepared for these powerful forces.

"Often we see a lower than average number of cyclones in El Nino years, but this does not mean we can afford to be complacent. Even during El Nino years, there has always been at least one cyclone to cross the Australian coast," said Bureau Climate Prediction Manager Dr Andrew Watkins.

"As cyclone awareness and education campaigns begin around the country this week, it is a timely reminder that any single cyclone that crosses the coast has the potential to cause significant damage and pose a threat to life."

Responding to this outlook report, the National Insurance Brokers Association (NIBA) reminded organisations that now is a great time to evaluate business insurance coverage.

NIBA CEO Dallas Booth urged company leaders to make sure their insurance arrangements are in order so they don't get taken off guard by storms, flooding, cyclones or other weather events.

From business interruption insurance to property coverage, it's important to discuss options with experts who know the market and understand the unique risks facing companies in particular regions.

Australia's cyclone season begins on November 1, with most tropical cyclones forming between January and March. These storms can involve wind speeds of over 300km/h and can last up to several weeks, the Bureau noted.

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