On 4 May 2021, the Government announced its intention to establish a reinsurance pool for cyclones and related flood damage, to commence from 1 July 2022 and be backed by a $10 billion Government guarantee. The pool would cover residential, strata and small business property insurance policies in Northern Australia.
A Treasury-led Taskforce will consult with industry and community representatives, as well as other interested stakeholders, and develop a final design for the reinsurance pool.
A consultation paper was released for interested parties to make submissions to the Taskforce, with submissions closing on 18 June 2021.
Interested parties are encouraged to register to receive updates on the consultation process.
News and media
Media release – More affordable access to insurance for Northern Australians – 4 May 2021