Investment losses, climate risks, taxes stir worry for wealthy Australians

Chubb’s 2025 Wealth Report has revealed that high-net-worth Australians are concerned about a multitude of threats to their wealth, including fraud, investment losses, climate change and wealth taxes.

“This year’s Wealth Report highlights how High-Net-Worth Australians are reshaping perceptions of wealth, which now extend beyond financial assets to include identity, lifestyle and legacy,” Angela Capponi, head of personal lines, Chubb Australia and New Zealand, said.

“This shift underscores the need for a more holistic approach to insurance and protection that reflects the complexity of modern wealth – with greater focus needed on safeguarding both the tangible and intangible aspects of wealth.”

Chubb’s survey of high-net-worth clients found that 91 per cent viewed a loss of value of investments as a key risk to their lifestyle and wealth.

Other top-reported worries included family-related issues, including divorce (75 per cent), being targeted by criminals (70 per cent), climate-change related property damage (69 per cent), inflation (58 per cent) and ‘populist policies’ such as higher wealth taxes (56 per cent).

Chubb’s report also revealed that 93 per cent of wealthy Australians were at least moderately concerned about climate-related risks, with bushfires seen as a “serious risk” to home ownership by 63 per cent of those surveyed.

Fraud and cyber threats were also top of mind, with 61 per cent of high net worth Aussies believing that cyber attacks and identity theft were a considerable risk to home ownership.

Wealthy households were uniquely vulnerable to cyber threats as they employed a team of financial advisers, private lawyers, domestic staff and security teams with access to personal and financial records, Chubb added.

“In this evolving threat landscape, cybersecurity should be viewed as a cornerstone of wealth protection - requiring the same rigour, planning, and customisation as any fine art policy or estate plan,” the report read.

The report also revealed a mindset shift between previous and emerging generations, with Gen Z and Millennials being more likely to inherit their wealth. Chubb said this had resulted in a mindset shift, away from wealth creation and towards wealth preservation.

Many younger wealthy individuals aspired to retire early, with 72 per cent of Millennials and 65 per cent of Gen Z agreeing that their dream was to retire as early as possible, Chubb found. This compares to 51 per cent of Gen X and 9 per cent of Baby Boomers.

“This generational shift reveals a powerful mindset change from wealth as security to wealth as freedom,” the report read.