The devastating Black Summer bushfires of 2019/2020 in Australia had record-breaking insured losses — serving as a critical reminder of the intricate relationship between climate patterns and their impact on businesses. As we stand on the precipice of similar weather catastrophes, the question remains: can we improve the way we prepare for and respond to such events?

While climatologists have long harnessed climate data to forecast environmental patterns, a parallel in the world of business interruption (BI) claims has been conspicuously absent — a gap we are now closing using data science.

In this article, we explore the potential for major bushfires in the 2023/2024 summer, as well as what our data indicates could be the implications for business interruption claims.