When the choice is between food on the table or flood insurance, what do you do?

Sharon’s dilemma - should I take out flood insurance or pay the grocery, fuel and utility bills? - is one that has likely faced many Mid North Coast residents in recent times.

In the wake of ex-tropical cyclone Alfred, as insurance companies deal with owners over damage claims, there are those like Sharon (not her real name) who are left to pick up the pieces without full coverage.

The single mother of three agreed to speak if her identity was not revealed. She said she simply couldn’t afford flood coverage, despite being aware of the risks.

In the recent flood event, the Macleay River reached her home, with water entering the garage and ground floor of the house. Inside the house the kitchen cabinets will need to be replaced, while most of Sharon’s property outside the home has been discarded or is in need of repair, including her children’s bikes and toys.

"It was an extra $100 a week,” she said. “That's [more than] $400 a month just on flood cover. I can't afford that. I already have to put that aside for bills and plus my [grocery] shop is about $350 per week.”

Cost of living pressures - including inflationary hikes on housing, utilities, insurance and groceries - are leading people to put flood insurance on the back burner. Then they cross their fingers and hope.

Impacts predicted to get worse

While the rising cost of living is a reality, so are the impacts of severe weather events intensifying.

Climate Scientist,  David Karoly, recently told the Mid North Coaster that while ex-tropical cyclones like Alfred are expected to decrease in frequency, when they hit they’ll likely be more intense. 

This is due to the rise in ocean temperature and atmospheric temperatures, leading to more moisture in the atmosphere, causing an increase in extreme rainfall.

"We've seen record-high atmospheric temperatures in the spring and summer in Australia, which are also the result of rising climate pollution, not just in Australia, but globally,” Karoly said.

“That moisture gets lifted up in the tropical cyclone and in the cloud systems forms rain, and that rain releases heat to increase and maintain the strength of the tropical cyclone.”

Insurance premiums expected to rise with increased risk of damage 

Climate Risk Group Chief Executive Officer, Karl Mallon, said ex-tropical cyclone Alfred should serve as a wake-up call for governments.

Modelling by the group had already identified northern NSW, and southeast Queensland, as areas at growing risk from cyclones migrating south due to warming sea temperatures.

"It is only to be expected that insurance premiums will rise in areas where the risk of damage from cyclones increases.”

Polling from the Australia Institute showed one in five people surveyed were uninsured or underinsured.

Federal independent MP Zali Steggall has called on both major parties to commit to a national climate risk and adaption plan in the next term of parliament.

"With an election set to be called any day, addressing climate risk, one of the biggest threats to our economy and impacting the safety of our communities, is barely rating a mention by the traditional parties," she said.

"This is a disgrace."

She said lack of insurance was leaving “middle Australia” exposed as “so much of their wealth is tied up in the family home”.

• With reporting from AAP.