Health Insurance Online :: News
SHARE

Share this news item!

Broader Solutions Needed for Insurance Affordability, Says ACCC

Broader Solutions Needed for Insurance Affordability, Says ACCC

Broader Solutions Needed for Insurance Affordability, Says ACCC?w=400
Amid escalating climate risks, the Australian Competition and Consumer Commission (ACCC) is calling for broader initiatives to improve insurance affordability.
The ACCC has highlighted that while climate-related events become more pronounced, some Australians face insurance unaffordability, often leaving significant assets like homes and small businesses uninsured.

Gina Cass-Gottlieb, the Chair of ACCC, acknowledges the beneficial impact of the cyclone reinsurance pool, although it has been limited by external cost pressures, leading to only partial relief on insurance premiums which remain "significantly high" for many across Australia.

"We are hopeful that the pool provides a measure of protection for those particularly vulnerable to cyclones, yet it isn't a comprehensive solution for the wider insurance affordability issues," stated Cass-Gottlieb at the Gilbert + Tobin Financial Services Forum. She insists that, "As climate change accelerates, it reshapes not just our weather but our entire approach to managing risk."

The ACCC emphasizes the importance of Northern Australia Insurance Inquiry recommendations, suggesting these could overhaul consumer interaction with insurance markets, enhancing both accessibility and transparency. Cass-Gottlieb also notes corroborating findings from government and industry reports urging continued reforms.

Her vision involves a collaborative approach with all stakeholders, including the government and regulatory bodies, to equip communities, particularly those bearing the brunt of climate changes, with affordable insurance solutions.

The ACCC's Northern Australia inquiry, concluded in 2020, offered insights such as simplifying policy comparisons, addressing conflicts of interest, safeguarding consumer rights, and promoting risk mitigation strategies like better infrastructure.

The federal government has tasked the ACCC with ongoing data collection and monitoring concerning the cyclone pool's effectiveness in delivering savings to policyholders in target regions, evaluating its tangible benefits.

Cass-Gottlieb mentions that global reinsurance markets' current dynamics, alongside soaring costs of building materials and labor, compound the challenge. "Consumers frequently report that exorbitant insurance costs force difficult decisions—either inadequately insuring their property or choosing no insurance at all," she mentioned.

This article reinterprets an original piece noted in Insurance News Magazine, which underscores the pressing demands on the insurance industry amid growing criticisms and external pressures.

Published:Monday, 4th Nov 2024
Source: Paige Estritori

Share this news item:

Insurance News

Insurers Face Intense Scrutiny Over Quake Claim Rejections Insurers Face Intense Scrutiny Over Quake Claim Rejections
21 Nov 2024: Paige Estritori

In recent months, Muswellbrook, a town in New South Wales, has experienced a series of earthquakes that have left residents grappling with both physical destruction and emotional distress. Criticism is mounting against insurers as more than 600 claims have emerged, following these seismic events, yet many remain unresolved or denied. - read more
AI Regulations: A Web of Complications AI Regulations: A Web of Complications
20 Nov 2024: Paige Estritori

The Insurance Council of Australia (ICA) has raised concerns about the potential fallout from a fragmented regulatory approach to artificial intelligence and automated decision-making in the industry. There is fear that this patchwork of reforms could result in conflicting requirements, heavier compliance burdens, and increased industry confusion. - read more
APRA Survey Reveals Impact of Climate Change on Insurance Industry Practices APRA Survey Reveals Impact of Climate Change on Insurance Industry Practices
19 Nov 2024: Paige Estritori

A recent analysis by the Australian Prudential Regulation Authority (APRA) reveals that over 90% of general insurers and reinsurers anticipate climate change will influence their underwriting procedures, posing new challenges to the industry. - read more
Fraudulent Claims Lead to Complete Denial of Compensation Fraudulent Claims Lead to Complete Denial of Compensation
18 Nov 2024: Paige Estritori

In a remarkable case highlighting the severe consequences of insurance fraud, an individual's attempt to inflate a theft insurance claim has resulted in the total denial of compensation. Despite a significant portion of the claim being genuine, fraudulent actions negated any potential payout. - read more
Soaring Insurance Premiums Amid Changing Climate Soaring Insurance Premiums Amid Changing Climate
14 Nov 2024: Paige Estritori

As climate change persists, the impact of severe weather on insurance premiums is becoming more evident, pushing affordability out of reach for many Australians. Bernadette Systa, a mother of five, faced an undeniable financial strain as her annual home and contents insurance costs surged from a modest amount to more than twice what she initially paid. This experience echoes a growing dilemma faced by households across the country. - read more


Health Articles

Understanding Health Insurance: A Starter's Guide for Young Australians Understanding Health Insurance: A Starter's Guide for Young Australians
Embarking on the journey of understanding health insurance is a pivotal stride for young Australians. It's a proactive step that embodies responsibility for one's well-being and financial foresight. Health insurance can often seem like a complex affair reserved for a future self, but grappling with its intricacies early can be both economically savvy and health-conscious. - read more
The Importance of Comparing Health Insurance Extras for Maximum Savings The Importance of Comparing Health Insurance Extras for Maximum Savings
Health insurance is more than just a precautionary measure; it's a vital component in managing both your health and financial well-being. In Australia, where healthcare costs can quickly escalate, health insurance extras serve as a buffer, ensuring that services like dental, optical, and physiotherapy remain within reach. These extras can significantly reduce the out-of-pocket expenses you might otherwise encounter for non-hospital treatments. - read more
Is Private Health Insurance Worth It? Exploring the Benefits Is Private Health Insurance Worth It? Exploring the Benefits
In Australia, health insurance plays a significant role in ensuring individuals can access quality medical care without incurring prohibitive costs. - read more
The Digital Age of Health Insurance: Comparing Policies Online The Digital Age of Health Insurance: Comparing Policies Online
The dawn of the digital age has significantly transformed the way we approach nearly every aspect of our lives, and the domain of health insurance is no exception. With the arrival of innovative digital tools, the health insurance landscape has undergone a striking evolution, allowing for unprecedented accessibility and convenience in managing healthcare coverage. - read more
How to Choose the Best Family Health Cover for Your Needs How to Choose the Best Family Health Cover for Your Needs
With healthcare being a critical aspect of every family's well-being in Australia, securing the right family health insurance is not just a necessity but a responsibility. Recognizing the importance of this safety net is the first step towards safeguarding the future health needs of your loved ones. Balancing comprehensive coverage against affordable premiums can seem overwhelming with a multitude of plans available. - read more
Health Fund Rebates 101: What Every Australian Needs to Know Health Fund Rebates 101: What Every Australian Needs to Know
Exploring the realm of health insurance can be like navigating a labyrinth, replete with complex terms and varying policies. Among these, health fund rebates emerge as a crucial element, particularly for young Australians embarking on their journey of health coverage. Fund rebates can significantly lighten the financial burden, transforming the quest for health insurance from daunting to empowering. - read more
The Importance of Comparing Health Insurance Extras for Maximum Savings The Importance of Comparing Health Insurance Extras for Maximum Savings
Health insurance is more than just a precautionary measure; it's a vital component in managing both your health and financial well-being. In Australia, where healthcare costs can quickly escalate, health insurance extras serve as a buffer, ensuring that services like dental, optical, and physiotherapy remain within reach. These extras can significantly reduce the out-of-pocket expenses you might otherwise encounter for non-hospital treatments. - read more
Understanding Health Insurance: A Starter's Guide for Young Australians Understanding Health Insurance: A Starter's Guide for Young Australians
Embarking on the journey of understanding health insurance is a pivotal stride for young Australians. It's a proactive step that embodies responsibility for one's well-being and financial foresight. Health insurance can often seem like a complex affair reserved for a future self, but grappling with its intricacies early can be both economically savvy and health-conscious. - read more
The Ultimate Guide to Comparing Health Insurance Plans in Australia The Ultimate Guide to Comparing Health Insurance Plans in Australia
Australia is renowned for its iconic landmarks, diverse ecosystems, and robust healthcare system. While the public healthcare system, Medicare, provides essential health services, it might not cover everything. The allure of private health coverage lies in its promise of broader options, reduced wait times, and coverage for services not included in Medicare, like dental and optical care. - read more
The Digital Age of Health Insurance: Comparing Policies Online The Digital Age of Health Insurance: Comparing Policies Online
The dawn of the digital age has significantly transformed the way we approach nearly every aspect of our lives, and the domain of health insurance is no exception. With the arrival of innovative digital tools, the health insurance landscape has undergone a striking evolution, allowing for unprecedented accessibility and convenience in managing healthcare coverage. - read more


Start Here
Your free Health insurance quote comparison starts here!

Type of Cover:
Postcode:
All Health insurance quotes are supplied to you free and without any obligation. We respect your privacy.

Knowledgebase
Deductible:
The amount you must pay out-of-pocket for expenses before your insurance company covers the remaining costs.