Farm Insurance Australia :: News
SHARE

Share this news item!

Consumer Advocacy Calls for $250 Million Annual Insurer Contribution Fund

Consumer Advocacy Calls for $250 Million Annual Insurer Contribution Fund

Consumer Advocacy Calls for $250 Million Annual Insurer Contribution Fund?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

A prominent consumer advocacy group, the Australian Consumers Insurance Lobby (ACIL), is advocating for insurers to contribute $250 million annually to support disaster risk mitigation, as well as the affordability and availability of insurance coverage.
This initiative seeks to address what the organization describes as an escalating crisis within the insurance industry.

Tyrone Shandiman, Chair of ACIL, suggests that distributing the $250 million expense across all members of the Insurance Council of Australia (ICA) would have minimal financial impact on individual insurers. He asserts that insurers have an obligation to redirect a portion of their substantial profits back to policyholders, rather than focusing solely on shareholder returns. According to Shandiman, the industry should actively participate in solutions rather than relying on government intervention alone.

The proposed funds would be allocated to support mitigation efforts in high-risk regions, offer premium relief for vulnerable consumers, create a research foundation to investigate long-term insurance affordability and availability strategies, and pilot programs that could justify significant government investment. ACIL emphasizes that insurers need to financially support these initiatives if they genuinely endorse mitigation and resilience measures.

Shandiman stresses that establishing such a fund would be a crucial step in rebuilding public trust in the insurance sector. He notes that insurers tend to propose solutions that do not require them to provide financial contributions, casting doubt on their commitment to true reform. This reluctance is juxtaposed with their record profit levels, while consumers in high-risk areas continue to face challenges in securing affordable insurance coverage.

The ACIL initiative suggests that the proposed funding could also be used to test and model strategies in support of the ICA's previously proposed $30 billion flood defense program. This program, outlined by ICA last month, calls for governmental investment over the next decade to alleviate growing concerns surrounding home insurance affordability.

The Insurance Council of Australia has acknowledged Mr. Shandiman's proposal but has not publicly committed to the initiative.

Published:Tuesday, 18th Mar 2025
Source: Paige Estritori

Please Note: If this information affects you, seek advice from a licensed professional.

Share this news item:

Insurance News

nib Health Insurance Premiums to Rise by 5.79% in 2025
nib Health Insurance Premiums to Rise by 5.79% in 2025
05 Jan 2026: Paige Estritori
nib holdings limited has announced an average increase of 5.79% in health insurance premiums, effective from 1 April 2025. This adjustment reflects the insurer's response to escalating healthcare costs and heightened utilisation of medical services. - read more
Enhancing Digital Integration: ADHA's Plan for Allied Health Professionals
Enhancing Digital Integration: ADHA's Plan for Allied Health Professionals
05 Jan 2026: Paige Estritori
The Australian Digital Health Agency (ADHA) has introduced the National Allied Health Digital Uplift Plan, a strategic initiative designed to bolster the digital capabilities of allied health professionals across the nation. This plan aims to facilitate seamless sharing of health information among practitioners, patients, and multidisciplinary care teams, thereby enhancing the quality and efficiency of patient care. - read more
Strengthened Legal Safeguards for Whistleblowers in the Health Sector
Strengthened Legal Safeguards for Whistleblowers in the Health Sector
05 Jan 2026: Paige Estritori
Recent amendments to the National Law have introduced robust legal protections for whistleblowers within the health sector, marking a significant advancement in promoting transparency and accountability. These changes criminalise any form of retaliation against individuals who report misconduct, including the use of non-disclosure agreements (NDAs) to suppress such disclosures. - read more
AUSactive and Private Healthcare Australia Join Forces to Enhance Preventive Health Coverage
AUSactive and Private Healthcare Australia Join Forces to Enhance Preventive Health Coverage
05 Jan 2026: Paige Estritori
In a significant move towards integrating fitness services into health insurance coverage, AUSactive has partnered with Private Healthcare Australia (PHA) to drive reforms in the private health insurance sector. This collaboration seeks to expand access to evidence-based preventive health services, including Pilates, Yoga, Tai Chi, and structured exercise programs delivered by accredited professionals. - read more
FITREC and Marsh Collaborate to Provide Comprehensive Insurance Solutions for Fitness Professionals
FITREC and Marsh Collaborate to Provide Comprehensive Insurance Solutions for Fitness Professionals
05 Jan 2026: Paige Estritori
FITREC has announced a strategic partnership with Marsh, a leading insurance broker, to offer enhanced insurance solutions tailored specifically for fitness professionals. This collaboration aims to provide comprehensive coverage options that address the unique risks associated with the fitness industry. - read more
Gallagher Launches Tailored Insurance Solutions for Fitness Industry Professionals
Gallagher Launches Tailored Insurance Solutions for Fitness Industry Professionals
05 Jan 2026: Paige Estritori
Gallagher, one of the world's largest insurance brokerage firms, has introduced a new suite of insurance solutions designed specifically for the fitness industry in Australia. This offering aims to provide affordable coverage options tailored to the unique needs of gym owners, Pilates and yoga studios, and fitness instructors. - read more
Australian Insurers Achieve Record Profits Amid Rising Premiums
Australian Insurers Achieve Record Profits Amid Rising Premiums
05 Jan 2026: Paige Estritori
In 2024, Australia's insurance industry reported an after-tax profit of $6.1 billion, a significant increase from the five-year average of $2 billion. This surge is primarily attributed to substantial premium hikes and a relatively calm year concerning natural disasters. - read more
Escalating Insurance Premiums Place 1.6 Million Australian Households Under Financial Strain
Escalating Insurance Premiums Place 1.6 Million Australian Households Under Financial Strain
05 Jan 2026: Paige Estritori
A recent report by the Actuaries Institute has highlighted a concerning trend: 1.6 million Australian households are experiencing affordability stress due to rapidly increasing home insurance premiums. This figure represents a 30% increase over the past year, underscoring the growing financial burden on homeowners. - read more
Increased Broker Activity Reflects Changing Landscape of Australia's Insurance Market
Increased Broker Activity Reflects Changing Landscape of Australia's Insurance Market
05 Jan 2026: Paige Estritori
The Australian Prudential Regulation Authority (APRA) has released data indicating a notable surge in broker activity within the general insurance market. For the six months ending December 2024, the number of intermediaries increased to 1,725, up from 1,539 in the previous period. This uptick suggests a shift in how insurance products are being distributed and highlights the evolving role of brokers in the industry. - read more
Understanding the Rise of Latent Defects Insurance in Australia
Understanding the Rise of Latent Defects Insurance in Australia
05 Jan 2026: Paige Estritori
Australia's construction industry is witnessing a significant shift towards latent defects insurance (LDI), a trend gaining momentum as New South Wales (NSW) approaches its 2028 deadline to mandate LDI for residential projects. This move underscores the sector's commitment to enhancing structural integrity and homeowner protection. - read more


Farm Insurance Articles

Proven Strategies for Australian Farmers to Reduce Farm Insurance Premiums
Proven Strategies for Australian Farmers to Reduce Farm Insurance Premiums
Welcome to our comprehensive guide on navigating the complexities of farm insurance for Australian farmers. As an integral part of the agricultural industry, insurance provides a safety net that helps secure the livelihood of farmers against unpredictable events that can lead to financial hardship. From property damage due to natural disasters to loss of livestock or crops, having adequate farm insurance can make all the difference in keeping a farming operation afloat in times of crisis. - read more
How to Safeguard Your Farm: A Guide for Australian Farmers
How to Safeguard Your Farm: A Guide for Australian Farmers
Farming is inherently risky. With factors like weather, pests, and market fluctuations affecting crops, it's crucial to manage these risks effectively. - read more
Investing in Your Farm's Legacy: Estate Planning and Farm Insurance Combined
Investing in Your Farm's Legacy: Estate Planning and Farm Insurance Combined
Farming is much more than an occupation; it's a way of life and a heritage that often spans generations. In today's ever-evolving agricultural landscape, embracing modern practices while preserving your farm's future has never been more crucial. Estate planning emerges as a pivotal strategy for safeguarding your agricultural legacy, ensuring that your hard-earned investments and the land you hold dear are passed on according to your wishes. - read more
Future-Proofing the Farm: What Every Tech-Savvy Australian Farmer Needs to Know About Insurance
Future-Proofing the Farm: What Every Tech-Savvy Australian Farmer Needs to Know About Insurance
Welcome to the first steps in future-proofing your farming legacy. When we think about the hustle and bustle of daily farm life, it's easy to overlook the critical importance of estate planning. For the Australian farmer, estate planning is not just a matter of securing your assets; it's about ensuring the survival and progression of your hard-earned labour to the next generation. - read more
Risk Management and Insurance Options for Farmers
Risk Management and Insurance Options for Farmers
Risk management is the practice of identifying, assessing, and prioritizing risks followed by coordinated efforts to minimize, monitor, and control the probability or impact of unfortunate events. In farming, risk management involves various strategies to protect the financial health and operational stability of the farm. - read more
Common Pitfalls to Avoid When Insuring Your Farm Equipment
Common Pitfalls to Avoid When Insuring Your Farm Equipment
In the world of agriculture, having the right insurance coverage is essential. Farming is a high-risk industry that deals with unpredictable elements, and insuring your farm equipment can safeguard your livelihood. - read more
5 Essential Farm Insurance Policies Every Australian Farmer Needs
5 Essential Farm Insurance Policies Every Australian Farmer Needs
Farming in Australia is not just a job, it's a way of life. However, it’s also a livelihood that comes with its own unique set of risks. From unexpected weather events to machinery breakdowns, the life of an Australian farmer is fraught with uncertainties. - read more
The Modern Farmer's Checklist for Assessing Farm Equipment Insurance Needs
The Modern Farmer's Checklist for Assessing Farm Equipment Insurance Needs
As the backbone of Australian agriculture, farm equipment plays an essential role in day-to-day operations across our expansive and diverse landscapes. From the vast wheat belts to the tropical fruit farms, machinery ensures efficiency and productivity in the face of constant challenges. But with reliance on such equipment comes significant risk—the financial burden of damage or loss can be devastating to a farmer's livelihood. - read more
A Farmer's Guide to Essential Farm Insurance Terminology
A Farmer's Guide to Essential Farm Insurance Terminology
Farming is a vital industry in Australia, requiring significant investment in equipment, crops, livestock, and labour. As with any major investment, protecting it is crucial. That's where farm insurance comes in. - read more
Customized Insurance Solutions: The Advantage of Specialized Farm Brokers
Customized Insurance Solutions: The Advantage of Specialized Farm Brokers
Farming in Australia is more than just a way of life; it is a critical sector that supports the nation’s economy and food supply. However, managing a farm comes with its own set of unique risks. From natural disasters to equipment failures, farmers face numerous challenges that can impact their livelihood. - read more


Need a Quote?
Start your free farm insurance quote comparison here.
Farm Type:
Postcode:

All quotes are provided free and without obligation by a Specialist from our National Broker referral panel. See our Privacy Statement for more details.


Knowledgebase
Occupational Hazard:
A risk associated with the nature of a particular occupation, which may affect insurance premiums.