Preparation needed to combat insurance rises

The rise in Tasmanian insurance premiums as a result of bushfires demonstrates the need for a disaster resilience fund, Australian Greens Leader Senator Christine Milne said.

“I don’t want to see Tasmanians priced out of insurance but unless we tackle disaster resilience now that will be our future reality,” Senator Milne said.

“NSW is battling extreme fire conditions and residents are being forced to flee their homes. If we don’t start spending more on disaster mitigation all Australia will be hit with rising insurance costs.

“The Greens want to establish a $350 million fund to help vulnerable communities better prepare for more frequent and intense floods, fires and storms.

“Such a fund would aim to reduce the extent of damage from natural disasters by building levees, creating and maintaining firebreaks and purchasing land and buildings at risk.

“We’ve had insurance companies like NRMA and CGU support our idea, calling it a critical move for our future safety and prosperity.

“According to the Insurance Australia Group, for every one dollar spent on risk mitigation we can save at least two dollars in recovery costs.

“But at the moment the government spends only about 3% on mitigation compared to what it spends on post-disaster recovery and reconstruction.”
Australian Greens Leader Christine Milne