Central Highlands council helps cut premiums
MARANOA Regional Council's action to better protect its community from flood would deliver massive insurance cost reductions with premiums to fall by up to 90% for some properties from August.
Suncorp Personal Insurance chief executive Mark Milliner said savings for Roma residents would be greater than anticipated thanks to more comprehensive information being shared by the council about the levee and about the flood risk faced by individual properties.
Mr Milliner said Roma residents protected by the levee, and for those properties where council provided additional flood risk information, would now be paying an average of $1000 for home insurance. This is a reduction of approximately 45%.
Modelling also revealed that a typical $400,000 home previously considered a medium flood risk could see a decrease of as much as $7000, or 90%.
"I congratulate Maranoa council and Mayor Rob Loughnan on their decision to invest in major flood mitigation for the Roma community," Mr Milliner said.
"Suncorp promised that if disaster risk levels came down, so will the price of insurance, and today we honour that commitment.
"Cr Loughnan's willingness to invest in community safety and share data about the town's flood risk and the effectiveness of the levee has expedited our re-pricing."
Cr Loughnan commended Suncorp on its move.
"This move not only eases the pressure on this community but gives a positive signal to other insurers that it is time to take action on lowering premiums," he said.
The levee completion also meant that, for insurance pricing purposes, 90% of Roma properties were considered as having nil flood risk.