NIBA's weekly e-newsletter, Broker Buzz, is packed with the latest industry and product news, regulatory updates, forthcoming events and seminars.
A new report shows average premiums are falling for building insurance designed to cover homeowners for defects if their builder dies, disappears or goes out of business.
The Essential Services Commission report also shows the number of claims against the scheme remains low. The commission’s head of price monitoring and regulation Marcus Crudden says average premiums fell from $1,089 to $825 between 2016 and 2018 after increasing steadily over several years.
“Average premiums increased by around 2 per cent each year from 2005 to 30 June 2018 in line with increasing project costs but have fallen over the past two years. This coincides with the Victorian Managed Insurance Authority establishing a new sales platform and new providers coming on board to offer this type of insurance,” he added.
The commission report shows 53 per cent of claims made to date relate to structural defects with the average cost of finalised claims around $33,000 per dwelling.
The report also shows:
View the commission’s report here.
Register your attendance at the 2021.2 NIBA Convention to hear the latest about insurance regulation from ASIC's Dr Rhys Bollen.
APRA has released its Quarterly General Insurance Performance Statistics and Quarterly General Insurance Institution Level Statistics publications for September 2021
Prue Monument has joined AFCA as the General Manager of Code Compliance and Monitoring and is the new CEO of the Banking Code Compliance Committee.
ASIC has commenced civil penalty proceedings in the Federal Court against MLC Limited for insurance policy and service failures