The Insurance Council of Australia (ICA) has expressed support for the increased funding designated in the 2023-24 Budget to enhance national disaster preparedness and resilience.
Under the budget enhancements, the National Emergency Management Agency will receive additional financial backing to bolster its capacity in supporting Australians before, during, and after disasters.
Moreover, the Department of Social Services will benefit from increased funding to aid individuals facing financial distress during crisis situations.
ICA’s CEO, Andrew Hall, underscored the significance of insurance as a critical safeguard for families and businesses across Australia. He emphasized the need for collaborative efforts between the insurance industry and the government to develop strategies that enhance insurance accessibility and affordability, especially amid rising cost-of-living pressures.
Hall highlighted the importance of proactive risk reduction measures, stating that preemptively reducing physical risks to homes and communities before disasters strike is crucial to alleviating insurance costs. He praised the government’s $1 billion Disaster Ready Fund, now in its second year, while also noting that investments in resilience and mitigation still fall short of national requirements.
The insurance industry remains committed to advocating for government actions that can help lower insurance premiums and bolster national resilience. Hall emphasized the industry’s efforts to highlight the impact of state governments’ $6.8 billion stamp duty on premiums and the need to allocate some of these funds towards strengthening resilience and mitigation measures.
Actuaries Institute Supports Budget Measures for Cost-of-Living Relief
The Actuaries Institute has welcomed the 2023-24 Budget’s focus on addressing cost-of-living concerns and promoting equity.
Elayne Grace, CEO of the Actuaries Institute, expressed appreciation for measures aimed at supporting income security and intergenerational equity, noting the significance of intentional policy to safeguard these aspects.
While acknowledging the budget’s investments in disaster resilience and climate adaptation, the Actuaries Institute called for greater public sector investment and public-private sector partnerships to bridge the adaptation finance gap.
Additionally, the Actuaries Institute emphasized the importance of increased investments and policy clarity in the AI sector to secure Australia’s digital future effectively.
Regarding superannuation and retirement tax frameworks, the institute advocated for modifications to ensure sustainability for future generations, welcoming recent measures but calling for further changes to support fairness and sustainability in the system.
