Just as society is changing in Australia, so is what the wealthy perceive as threatening to their assets and legacy. A recent survey canvassed 200 affluent Australians with investible assets worth over A$5 million, to identify how wealth is generated, passed on and what protections they consider important1.
The surveyed group comprised one third holding investible assets between $10 million and $25 million, another third with between $25 million and $50 million, and an additional 20% with more than $50 million.
Against a background of global socio-economic unpredictability, wealth portfolios are becoming increasingly diversified and so too are the risks that could threaten them. From financial market fluctuations to personal or family dynamics and increasingly unpredictable climate events, Australia's wealthiest face risk challenges that could come from a range of sources.
These include:
- loss of value of investments — the top concern at 91%
- loss of income due to job loss or profits from my business — 83%
- family-related issues, including divorce — 75%
- being targeted by criminals because of my wealth — 70%
- damage to my property or business from weather-related events or climate change — 69%
- being the victim of financial fraud — 69%
- impact of inflation — 58%
- populist policies, including higher taxes on wealth — 56%
- being the target of a lawsuit because of my wealth — 44%
- competitiveness of the Australian economy — 37%.
Personal asset risks: property loss or damage
For many wealthy Australians real estate, including the family home, is a key asset — and these properties may be filled with valuables, from artworks to designer wallpaper.
The risks to personal assets range from neighbourhood crime and non-weather-related fire or water damage to the growing impact of extreme weather events such as floods, cyclones and bushfires. Along with safeguarding their wealth, 93% of respondents said they were moderately concerned about climate-related risks. Three of the top five perceived risks to home ownership are related to fire and water events.
While fire is often perceived as the most significant threat to the home, internal water damage, from domestic accidents to floods or weather-related issues such as damaged roofing, is the most common and costly risk for homeowners. Even a small leak can result in six figure restoration costs for homeowners with valuable possessions and expensive home decor.
In recent years there has been an increase in the number of claims linked to internal water damage, reinforcing the need for proactive maintenance and risk mitigation, including regular appraisals, updated valuations and built-in resilience to environmental disasters.
In terms of threats to personal property, respondents ranked the following risks as:
- bushfire — rated as a moderate risk by 34%, high risk by 63%
- cyberattack/ identity theft — moderate risk 25%, high risk 61%
- burglary, vandalism — moderate risk 58%, high risk 40%
- weather-related damage — moderate risk 25%, high risk 38%
- non weather-related water damage — moderate risk 39%, high risk 57%
- non weather-related fire — moderate risk 48%, high risk 48%
- personal liability for someone injured on the property — moderate risk 39%, high risk 40%
- damage during renovations — moderate risk 9%, high risk 44%
- weather-related water damage — moderate risk 38%, high risk 40%.
Collections as hobbies, investments and legacies
Collections may start as hobbies or as a deliberate investment policy and can be passed on to succeeding generations as part of a family legacy. For Australia's wealthiest they represent an attractive investment, with 70% of respondents planning to acquire jewellery and gems to build their collections.
In the case of valuable collections, protection and succession planning need to match the worth and significance of these assets, but 68% of those surveyed with investible assets between A$5 million and A$10 million admit they don't yet know who they will leave their collections to as part of their estate plan.
Insurance too needs to keep pace with the accrual in value of personal assets held in collections.
Risk monitoring essentials for protecting high value assets
- valuations
- security arrangements
- up-to-date inventory.
- having appraisals updated regularly, at five year intervals at the least
- keeping security alarms activated, especially if the property is unoccupied
- keeping vehicles securely garaged
- roof gutters and surface drains cleared and cleaned regularly
- checking internal plumbing annually, particularly the flexi-hoses in the system.
How Gallagher can help with protecting high value assets
Our insurance brokers' approach to risk management helps you to achieve the right level of home and contents insurance cover.
Determining the value of your possessions can be a daunting task, but it's an essential step towards getting the right home and contents insurance. This is where Gallagher can help you to determine the value of your contents and provide a specialist view on certain items that may require a particular level of cover.
Source
1The 2025 Chubb Australia Wealth Report, Chubb, accessed 1 Dec 2025
