The National Insurance Brokers Association (NIBA) has put its weight behind Insurance Council of Australia (ICA) and Master Builders Australia (MBA) calls for the Federal Government to increase investment in disaster mitigation and building resilience funding
The National Insurance Brokers Association (NIBA) has put its weight behind Insurance Council of Australia (ICA) and Master Builders Australia (MBA) calls for the Federal Government to increase investment in disaster mitigation and building resilience funding.
NIBA CEO Dallas Booth said, “Major natural disasters and significant weather events have caused billions of dollars worth of losses in Australia over the past 10 years. The Black Summer fires were just one of many events over that period. The insurance industry has paid billions to policyholders to help them recover, but ultimately that financial support from insurers needs to be paid for – by the policyholders of Australia. This has led to significant challenges regarding affordability of insurance cover.”
Both organisations are calling for the Federal Government to increase disaster mitigation funding and education programs to reduce the physical loss and economic disruption caused by bushfires, cyclones, storms, flood and other extreme weather events.
ICA CEO Andrew Hall said greater investment by governments across Australia would significantly help communities bounce back from the impact of extreme weather events, “Mitigation and infrastructure improvements increases a property’s resilience, reduces the risk of damage from a natural disaster, and reduces insurance premiums.”
Booth said, “NIBA fully supports efforts by the insurance industry and others to raise the debate about the need for mitigation of risks and making sure Australian communities are resilient, and are able to deal with the weather events we now experience.”
“We look forward to continuing to support mitigation and resilience strategies, so we can keep insurance premiums affordable and available for policyholders across Australia.”
MBA CEO Denita Wawn said it is important to address reforms and develop effective guidance material for the construction supply chain and consumers on property protection and building resilience.
“Industry welcomes the opportunity to work with government to get this right and to develop information and education programs that address how improvements to existing homes can improve building resilience,” Wawn added.