The Parliamentary Secretary to the Treasurer, Senator Ian Campbell, today encouraged the states and territories to fast-track home building insurance reform in the wake of Dexta's withdrawal from providing home warranty cover.
"The matter of warranty cover is exclusively a matter for the states, however the Commonwealth has worked constructively with the states since the HIH collapse on this important issue," he said.
"Last October, the Commonwealth, through the Ministerial Council of Consumer Affairs, offered to assist the states and territories by setting up a review of building warranty insurance. The review is exploring and identifying changes that could be made to existing arrangements to ensure an appropriate level of consumer protection.
"That review is being conducted by Professor Percy Allan and is at an advanced stage. Although he is not due to report until the end of next month, have asked today that Professor Allan's key findings be passed onto the states and territories as soon as possible."
Senator Campbell said the Dexta withdrawal reinforced the need for the states and territories to speed up the reform process.
"I congratulate Victoria and New South Wales for having started a joint reform process and encourage the others to address the issue as a matter of urgency," he said.
Perth
10 April 02
Contact: Wayne Grant, Senator Campbell's Office
08 94211755 or 0407 845280
http://parlsec.treasurer.gov.au