- • COVID-19
- • Issues
- • Submissions
- • Industry In Focus
- • Reports
- • Independent strata study
- • Best Practice Workers Compensation Scheme
- • 2015 non insurance in the small to medium size enterprise sector
- • Analysis of demand for home and contents insurance by Dr. Tooth
- • Impact of Removing Stamp Duties on Insurance
- • Too Long; Didn’t Read – Enhancing General Insurance Disclosure
- • QLD Floods
- • Non-Insurance
- • Non-Insurance in the Small to Medium Sized Enterprise Sector
- • National Disability Insurance Scheme (NDIS): Funding the Unfunded Commitment
- • Consumer research on general insurance product disclosures
- • Property based funding options for the NSW Fire Services Levy
10-point plan to tackle disasters
On January 27, 2011, the Insurance Council of Australia released a 10-point plan containing policy and industry initiatives aimed at developing a more effective and sustainable response to disasters in Australia.
Objectives of the 10-point plan:
1. Standard definition for flood: Reform of the Insurance Contracts Act to include a common definition of flood for reference by insurers that offer flood insurance (to maintain competition and consumer choice, retain the right to derogate and amend the definition under the 'unusual terms' section of the Act).
2. Improved disclosure: Industry commitment to simplify and improve insurance product disclosure statement summary arrangements to enhance consumer understanding of insurance cover.
3. Provision of adequate flood data: Agreement from Government to establish an open source nationally consistent and contemporary digital terrain model, to allow the accurate mapping of flood risks nationwide and communication of those risks by government to property owners.
4. Removal of insurance taxes: Commitment across all Governments to encourage greater personal responsibility in the community through implementation of recommendation number 79 of the Henry Tax Review to abolish all insurance taxes, including fire services levies.
5. Improved land-use planning: Commitment by Government to develop national landuse planning criteria that prohibits inappropriate land-use in Australia.
6. Improve building standards: Commitment by Government to improve the community's disaster resilience by modernising the Building Code of Australia to include minimum standards for the durability of property to natural hazards.
7. Improve community infrastructure: Recovery funds dedicated to preventative infrastructure projects including levees, barrages, flood gates and improved drainage.
8. Education and financial literacy campaign: Government and industry commit to a community education campaign to increase awareness of insurers' obligations to consumers and dispute resolution arrangements. This includes promoting the insurance industry Code of Practice.
9. Measure effectiveness of disaster relief payments: Introduce annual reporting by the Productivity Commission on the effectiveness of State and Federal disaster relief payments.
10. Better advice to consumers: Commitment by Government to ensure the advice provisions in the Corporations Act do not impede discussion between consumers and insurers on appropriate insurance cover needs.