Insurance prices blowing away cyclone-prone communities
Nyk Carnsew |
Insurers aren’t doing enough to support cyclone-stricken regions of north Queensland as climate change intensifies the impact of natural disasters, a Senate inquiry will hear on Friday.
Property owners in Queensland’s cyclone region are paying up to 12 times more on insurance premiums than those near the southern border, according to a submission by the North Queensland Strata Action Group.
The Senate inquiry will meet for a second day in Brisbane to hear evidence from Strata Action and Suncorp, as well as local governments, and climate advocacy organisations.
Insurance prices have more than tripled since 2022 and as the cost-of-living crisis gets worse residents are struggling to keep up.
The federal government has made major investments into disaster mitigation in the region but residents are still being denied coverage based on risk, the Queensland Local Government Association said in its submission.
The prices are set for the entire region, which means residents are paying more for risks that might not even affect their community.
Mackay has not been directly hit by a cyclone since 1918 but property owners in the central Queensland city are still paying for the risk.
Self-insured flood victims in regional NSW are paying less to repair their homes than those with insurance, the committee was told by councillors during its first session in Ballina on Thursday.
Suncorp’s submission laid out a four-point plan for the government to further mitigate the impact of natural disasters in the region.
The insurance company’s recommendations include government funding for infrastructure, grants for property owners, better urban planning and lowering taxes on property owners with insurance.
The committee is due to report to the Senate on November 19.
AAP
