The actress had been fighting brain cancer for ten years.
Cathy was best-known to fans for her cancer storyline in the Australian soap in the early nineties, which saw her character battling leukemia soon after she began dating Blake Dean (Les Hill).
Her final tear-jerking scenes saw Meg pass away in Blake’s arms while watching the sun rise on the beach.
‘Home And Away’ fans paid tribute to the star on Twitter after the news of her death was announced.
According to news.com.au, Cathy was first diagnosed with cancer in July 2007 and fought two brain tumours and underwent chemotherapy over the following decade.
At the time of her diagnosis Cathy said she was feeling positive about beating the disease, saying: “It was a terrible shock to find out I was ill.
“Because I am young and healthy I have a much better chance of beating it.
“I am fighting this... I want to get healthy and get back to work as soon as possible.”
Cathy’s close friend Sally Browne revealed that she was upbeat in her final weeks, despite her diagnosis.
She told 9NEWS: “She would sit bolt upright and dance whenever Coldplay CDs were played at her hospital bedside.
“Cathy was a wonderful, young woman and a very talented young actress,” she said.
“But like all brain tumours, it eventually took over and it was just a tragic, tragic end.
“We also had her scrapbooks there and were reading to her – so there were some beautiful, poignant moments as well.”