25 September 2003

Government Welcomes Insurance Contracts Issues Paper

The Parliamentary Secretary to the Treasurer, Senator Ian Campbell, today welcomed the release of an issues paper linked to the current review of the Insurance Contracts Act 1984.

The paper, dealing with section 54 of the Act, was prepared by the reviewers, former chairman of the Australian Securities and Investments Commission Mr Alan Cameron and specialist insurance and reinsurance lawyer Ms Nancy Milne.

"The paper outlines the current judicial interpretation of section 54 and how this, together with developments in the insurance market, have impacted on the availability and pricing of insurance," Senator Campbell said.

"It also presents possible options for reform of section 54."

He said submissions would close on 15 October and the review submitted to the Government by the end of next month. The balance of the panel's report on the Act is due by 31 May 2004.

Details of how to lodge a submission are available from the review's website at http://icareview.treasury.gov.au

PERTH

25 September 2003

Contact: Wayne Grant 08 9421 1755 or 0407 845280