Treasury figures show a loss of $2.2 billion from economic activity following Tropical Cyclone Alfred and floods in NSW and Queensland.
The impact is expected to be reflected in March-quarter GDP figures to be released on Wednesday.
The government's priority was helping fund recovery and rebuilding for communities, Treasurer Jim Chalmers said.
"The human impacts matter to us most but the economic cost is very significant too and we'll see that in Wednesday's National Accounts," he said.
"Because of the progress Australians have made together in the economy, with inflation down, debt down and unemployment low, we're in a stronger position to provide support when communities need it most."
Policy holders are set to pay more for their insurance because of the increasing frequency of severe weather events.
Major insurance companies underwriting coal and gas projects were exacerbating the issue, environmental group Market Forces chief executive Will van de Pol said.
"Customers have every right to be ropeable with insurers for the staggering increase in premiums in recent years, especially when the global insurance industry is making the problem worse," he told AAP.
Skyrocketing premiums and refusing to cover climate change risks in some areas should ring alarm bells for policymakers, according to Mr van de Pol, who said the insurance industry was the "canary in the coal mine" for climate change.
Recent flooding in NSW has left 10,000 homes and businesses damaged or destroyed, and the Insurance Council of Australia reported more than 6000 insurance claims.
Tropical Cyclone Alfred in March caused widespread damage and flooding to communities across southeast Queensland and northern NSW.
Prolonged downpours in southwest and central Queensland flooded a vast area spanning about one million square kilometres.
The government's Disaster Assist website lists 27 separate natural disasters from January to May consisting of flooding, storms, cyclones and bushfires.
Opposition Leader Sussan Ley travelled to the NSW mid-north coast on Monday to visit flood-affected communities with local MPs.
Emergency Management Minister Kristy McBain said the government was funding measures to increase resilience, adaptability and preparedness, and the Disaster Ready Fund initiative would provide another $200 million.
Multiple disaster payments have been activated and the federal government will continue working with NSW on any other funding requests, Ms McBain said.
The minister said she had been on the ground in disaster areas to see the impact and had been meeting with affected small business and primary producers.
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