ACT Targets Rising Insurance Costs with Comprehensive Inquiry

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

Driven by the Legislative Assembly’s Standing Committee on Economics, Industry, and Recreation, the inquiry will explore several pivotal issues, including how insurance costs in the ACT measure against those in other regions, with a keen focus on workers' compensation and climate change impacts. "We are particularly interested in suggestions for improving the insurance sector to make it easier for small businesses and organisations to operate in the ACT," said committee chair Taimus Werner-Gibbings.

The investigation is set to delve into important topics like public liability claim trends, litigation behaviors influencing premium costs, and the challenges non-governmental and community projects face in accessing insurance coverage.

Part of the inquiry will also evaluate how insurance entities assess risks and consider public and private sector efforts in risk reduction. This is especially pertinent for community sports, recreation, and the creative arts when using government venues and facilities, as these requirements significantly affect their operations.

Additionally, the inquiry will examine models for offering public sector policies to community organizations, extending the scope to those that operate across state lines or on an international level.

According to the Canberra Business Chamber, there’s been a pressing need for action regarding insurance costs, which have been soaring to levels that many companies find unsustainable. "Increases in insurance premiums ultimately translate into price increases for customers and make it harder for businesses to operate sustainably," remarked CEO Greg Harford.

The chamber highlighted in its September-quarter Canberra Business Beat report that 44% of surveyed businesses experienced premium hikes exceeding 20% over two years, with these increases surpassing inflation rates.

Mr. Harford pointed out that although insurance costs are generally concerning, workers' compensation in the ACT stands out as particularly troublesome. "The chamber is hearing about huge price hikes for workers’ compensation insurance, and members report that it is substantially more expensive here in the ACT than in NSW or other jurisdictions," he added, noting the competitive disadvantage this creates for ACT-based businesses compared to those in other states.

Submissions for the inquiry are open until March 14, with the committee yet to announce when the findings will be reported.

The source of this information is from previous reports and statements, including insights from Greg Harford of the Canberra Business Chamber.

Published:Tuesday, 28th Jan 2025
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

Share this news item:

Insurance News

Clear

Wetter Weather Forecast Puts Rural Cover Under the Microscope

12 Aug 2026: Paige Estritori

Australia's latest seasonal weather signals have again pushed rainfall risk into the foreground for rural and regional businesses. While conditions vary sharply between districts, a wetter outlook for parts of the country is a useful reminder that risk planning should not wait until paddocks are already saturated, creek crossings are cut or machinery is bogged at harvest. - read more

Underinsurance Warning Lands at a Critical Time for Farms

04 Aug 2026: Paige Estritori

Fresh insurance industry concern about underinsurance is especially relevant for Australian farmers as rebuilding and replacement costs remain stubbornly high. While the issue is often discussed in relation to houses, the same pressure applies across rural assets: sheds, fencing, pumps, tanks, grain storage, livestock yards, irrigation equipment and machinery can all cost significantly more to replace than they did when a policy was first arranged. - read more

Why Climate Risk Is Back on the Farm Insurance Agenda

28 Jul 2026: Paige Estritori

Australia's general insurance sector has again put natural hazard resilience at the centre of the affordability debate, with fresh industry commentary warning that floods, bushfires, storms and cyclones are continuing to reshape how risk is priced. For farmers, this is not an abstract policy discussion. It goes directly to the cost and availability of farm insurance, particularly for properties with older buildings, exposed machinery, flood-prone access roads, boundary fencing, stored fodder or high-value livestock. - read more

What Allianz’s Farm Cover Revamp Means for Farmers

21 Jul 2026: Paige Estritori

Allianz Australia has refreshed its farm pack insurance, with the updated product announced on 20 July 2026. For farmers and rural property owners, the significance is less about one insurer changing a product and more about what it signals across the broader farm insurance market: insurers are trying to make cover easier to understand while adjusting policy features to better match modern farming operations. - read more

What Bushfire Resilience Ratings Mean for Farmers

07 Jul 2026: Paige Estritori

More Australian insurers are now recognising household bushfire resilience ratings, a development rural and regional property owners should watch closely as risk-based pricing becomes more visible across the insurance market. NAB and CommBank insurance brands have joined the program, alongside existing participants including NRMA Insurance and Suncorp, meaning a significant share of the home insurance market is now engaging with assessed bushfire mitigation. - read more

Cyclone Pool Delivers Relief, But Farmers Still Need to Check Cover

30 Jun 2026: Paige Estritori

The Australian Competition and Consumer Commission's final monitoring report on the cyclone reinsurance pool has delivered a mixed message for rural and regional northern Australia. The pool appears to have helped ease some premium pressure for medium to high cyclone-risk areas, including reductions across home, strata and small business building and contents cover. For farm families and agribusinesses in cyclone-exposed regions, that is welcome news after years of rising costs and limited choice. - read more

Click for more Insurance News