Positive Changes To Policies
Illawarra Mercury
Thursday August 17, 2000
Positives have come out of the 1998 Wollongong storm disaster, with many insurance companies now incorporating storm-related flood cover in their home and contents insurance policies.
Legal Aid lawyer Michael Sargent said the NRMA, announcing this move in August last year, said it was responding to major events such as the Wollongong and Coffs Harbour floods.
As well, Legal Aid Commission lawyers had been lobbying for months for reforms in the insurance industry, he said.
``For example two of our lawyers have been liaising with the executive manager of the Insurance Council of Australia (ICA), Rod Frail," Mr Sargent said. ``The ICA has visited more than 173 councils throughout Australia and have been assisting with flood mapping.
``The end result will be that incentives will be provided to local councils to mitigate flood damage through town planning controls and so forth.
``Unfortunately, there has been resistance from some councils about providing their own maps which are passed on to the mapping authority."
Mr Sargent said the Australian Securities and Investments Commission (ASIC) recently handed down a new general insurance code of practice. ``Legal Aid lawyers had a lot of input into this as well," he said. ``One of them, Christian Mikula has been seconded to ASIC."
Mr Sargent invited anyone with ideas about insurance law reform or how firms could better provide insurance to use the Legal Aid office as a conduit to ASIC.
Mr Sargent said since the August 1998 storms, policies were now written in plainer English.
``Our lawyers ... are lobbying for more changes to policies so they're more understandable for everyone including people from ethnic backgrounds," he said.
Mr Sargent said Legal Aid had only one case outstanding, involving QBE.
© 2000 Illawarra Mercury
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