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Insurance Business | 27 Oct 2014, 08:34 AM Agree 0
A leading insurance body has expressed its concerns over new rules regarding unauthorised foreign insurers entering the Queensland market.
  • Ageing Broker | 27 Oct 2014, 11:56 AM Agree 0
    The government's 'dog whistle' here is to those insurers who have pulled out of North Queensland and who won't underwrite business north of Noosa.
    If you are going to be an authorised insurer in Australia surely you have to offer a service to the whole community not just the major population centres - doing this would obviate the need for the government to threaten competition from UFI's .
  • Karen | 27 Oct 2014, 01:53 PM Agree 0
    You cannot put a fence around FNQ - if our current government proceeds with this outrageous plan, other states will follow i.e. Victorian Bush fire areas. This is a truly country wide issue that needs to be stopped in its tracks. The Finance Minister's proposal is either : 1. ignorant of the consumer protection measures we, as an industry and successive governments, have built over the last 30 years or 2. arrogant enough to believe these efforts are of no consequence.
    It is a very interesting situation when you start looking at statistics.
    FNQ population <300,000 (Less than 2% of the Australian Population)of which about 25% are under 18 years of age. That leaves 225,000 persons within FNQ. Lets say that of these, 2/3rds own dwellings, we're down to 150,000. Lets be optimistic and say 80% of owners hold insurance.
    For the sake of say 120,000 policy owners, we now see our government cow tailing to yet another minority about the cost of insurance in FNQ and possibly jeopardising our industry on a national level.
    When our learned government came up with their cunning plan, I wonder if they thought about the national ramifications of their actions, or better still, the very interesting theory that our local insurers are just looking for a reason to abandon the 2% of Australia which has the most frequent and highest value natural disaster losses within our shores. I can't see how this proposal will improve competition, particularly in the north.
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