From unexpected floods to severe storms, changing weather patterns are quietly reshaping the realities of homeownership in South Africa.

According to Caesar Balona, Head of Risk Intelligence & Engineering at Old Mutual Insure, this new normal has led to a fundamental change in policyholders’ exposure to risk.

“Extreme weather events such as floods, hailstorms, wildfires, and prolonged droughts are increasing in both frequency and intensity, significantly elevating risk for clients,” Balona explains.

This means that even properties within the same suburb may carry very different risk profiles, depending on factors such as elevation, drainage, proximity to water sources, or exposure to fire-prone areas.

Therefore, understanding risk is becoming an essential part of responsible homeownership. While insurance provides critical financial protection, it does not replace the need for proactive risk management. Reducing the potential for damage before it occurs not only supports more effective claims outcomes but also helps protect the property and minimizes disruption. Therefore, safeguarding a home or assets is a shared responsibility between insurer and policyholder.

Taking simple actions, such as ensuring that water can flow away from the property, keeping gutters clear, and identifying areas where water may pool during heavy rainfall, can help reduce the likelihood of damage during storms.

“I often suggest that homeowners observe their property during a heavy downpour. Through this exercise, it quickly becomes clear where vulnerabilities exist, whether it is poor drainage, blocked outlets, or structural weaknesses that may not be obvious in dry conditions,” Balona says.

He adds that this should not be limited to individual properties. Community infrastructure also plays a significant role.

“A blocked stormwater drain or culvert in the surrounding area can have a direct impact on your home. Engaging with community structures to address these issues is an important part of managing risk collectively,” he says.

Insurance needs are also evolving for households. Recent trends, such as the widespread installation of solar panels and backup power systems, have further increased the value and complexity of many homes.

“These additions are valuable, but they also introduce new risk considerations. Solar panels, for example, are exposed to weather related damage such as hail, and may require specific cover,” Balona notes.

He also emphasises the importance of regularly reviewing insurance policies to ensure that cover remains aligned with the actual value and risk profile of the home.

“Underinsurance remains a significant concern. If your home and its contents are not insured for their correct replacement value, you may face shortfalls at the claim stage,” Balona warns.

Compliance and proper installation are equally important, particularly when it comes to newer technologies. Ensuring that all documentation and certifications are in place can help avoid complications should a claim arise.

For prospective homeowners, climate risk is increasingly becoming an important factor in property purchase decisions.

“For example, one must try to understand the physical dimensions of a property, such as slope, proximity to water sources, and surrounding vegetation,” says Balona. Furthermore, he adds, “simple observations can provide valuable insight. Is the property located at the bottom of a hill? Does it border an unmanaged greenbelt? Has the area experienced flooding or fire events in the past?”

The broader shift within the insurance industry is clear. It is moving from a purely reactive model, focused on claims, to a progressive one that emphasises proactive risk management.

Emerging solutions, such as parametric insurance, which enables faster payouts based on predefined weather events, are also beginning to reshape how cover is delivered in high-risk environments.

However, Balona notes that the best outcomes will be achieved through collective effort.

“Managing climate risk is not the responsibility of insurers alone. It requires collaboration between homeowners, communities, insurers, and public infrastructure stakeholders,” he adds.

Ultimately, Balona emphasises that climate change is both an environmental and financial reality that homeowners cannot afford to ignore.

“The more informed and proactive homeowners are in understanding their risk, the better positioned they will be to protect their assets and navigate an increasingly complex risk environment,” Balona concludes.