3 December 2008
The general insurance industry provides risk offset services for Australian families, individuals and businesses - calculating the probabilities of damage and offering insurance and then compensation when it occurs. The industry therefore has a natural focus on risk mitigation activity undertaken by the community, as good risk mitigation leads to more acceptable claims costs and ultimately more affordable general insurance premiums for the Australian community.
As indicated in our interim submission, the Government’s own position regarding the need to adapt to climate change has been articulated as:
... the early impacts of climate change have already appeared and scientists believe that further impacts are inevitable, no matter what happens to future global greenhouse gas emissions. In addition, the decisions we make today about infrastructure, health, water management, agriculture, biodiversity and housing will have lasting consequences. It is therefore important to begin planning now for the impacts of climate change in the future.
We believe that this review presents Federal and State governments with a critical opportunity to ensure Australian families, individuals and businesses have a future built environment that is resilient and durable to risks, rather than Australians being left to construct buildings to a lesser standard that offer little or no protection to their economic and social well being.
The Insurance Council supports the Government’s view that an urgent modernisation of the Building Code of Australia must be undertaken to ensure that appropriate adaption is incorporated into the future built environment.
Click here for a PDF copy of the full submission.