Assistant Treasurer Senator Helen Coonan today welcomed moves by the Insurance Council of Australia, Allianz Australia Insurance Ltd, NRMA Insurance and QBE Insurance (Australia) Ltd to make public liability insurance available for not-for-profit organisations through the establishment of a co-insurance panel.
Earlier this year, Senator Coonan called on the insurance industry to establish a coinsurance arrangement to provide cover for not-for-profit groups.
"I am very pleased that the insurance industry has taken up this initiative," Senator Helen Coonan said.
"Its implementation in New South Wales has been made possible by the effective law reform introduced by the State Government. Small sporting and community organisations operating in New South Wales will have access to a new source of public liability insurance.
"Today's announcement demonstrates the very real contribution that tort law reform can make to resolving the problems in the public liability market.
"In the meetings that I convened with State and Territory Ministers in March and May of this year, tort law reform was identified as an essential component to providing stability to the insurance market."
This initiative provides a very clear incentive for other States and Territories to push ahead with their reform agendas. The recommendations of the two reports of the Review of Negligence Panel chaired by Justice David Ipp will provide States and Territories with carefully considered options for effective law reform."
Senator Coonan will use the next meeting of State and Territory Ministers scheduled for 27 September 2002 in Sydney, to drive further reform in this area.
Today's announcement together with the recent announcement by Suncorp GIO to re-enter parts of the market that they had previously withdrawn from provides a strong indication that the changes currently being implemented are already achieving concrete results.