NIBA appears before Senate inquiry into Climate Risk Assessment

NIBA has appeared before the Senate Environment and Communications References Committee’s inquiry into the National Climate Risk Assessment

The report, released on Monday, presents a national overview of climate-related risks and their potential impacts on Australian communities. It has become a focal point for industry, government, and community groups grappling with the increasing frequency and severity of extreme weather events. 

NIBA CEO Richard Klipin told the Committee that brokers witness firsthand the financial and social impact of climate change on households and businesses, particularly in high-risk regions. 

“Rising premiums, reduced affordability, and, in some cases, limited availability of insurance are already affecting Australians”, said Klipin. “These pressures are projected to grow as climate change increases both the frequency and severity of extreme weather events.” 

NIBA stressed that insurance is more than a financial product; it is “a cornerstone of resilience.” Mr Klipin explained: 

“It enables families, businesses, and communities to recover more quickly after a disaster, reducing reliance on government relief and supporting local economies” However, in order for insurance to fulfil its purpose, Mr Klipin explained, two conditions must be met: “manageable underlying risk and access to accurate, transparent information.” 

NIBA argued that the Climate Risk Assessment is an essential tool in addressing these challenges. By providing clear and accessible data on climate-related risks, the CRA would enable brokers to advise clients effectively and support governments and communities to target mitigation and resilience measures where they are most needed. 

“A good risk adviser isn’t just talking about the risks you’re facing today, they’re talking about the risks you’re likely to face in the future. (…) Anything we can do to make this information more digestible, not just for broking clients but consumers more generally, is a positive thing” said NIBA Head of Policy and Advocacy Allyssa Hextell.  

NIBA used this opportunity to reinforce its calls for long-term investment in disaster mitigation and resilience at both the community and household levels. Highlighting that disaster spending in Australia remains heavily weighted toward recovery rather than prevention, and pointed to the positive outcomes achieved in Roma, Queensland, where targeted mitigation works have helped reduce flood impacts and improve community resilience. 

The Committee is due to deliver its final report to Parliament by Thursday 20 November 2025.