Fairfax Media Network

Weather News

Hope for new policy to ease Gympie flood insurance premiums

By Jo Skinner and Alyse Edwards, Friday November 29, 2013 - 12:01 EDT

Gympie MP David Gibson says a new policy to reduce insurance premiums in flood-affected regions should be in place by Christmas.

The Queensland Government plan involves giving insurers more detailed maps so non-flood prone properties are not charged inflated premiums.

Mr Gibson says some Gympie residents have seen their insurance premiums double because of repeated flooding in the region.

"It's very easy when you're sitting in a glass tower office building in Sydney to be making decisions about insurance premiums that play out in Mary Street in Gympie but you need to really understand what is the impact of that," he said.

"Some of the anecdotal evidence from pensioners who've come in to show us is we've seen in the vicinity of [a] 50 to 100 per cent increase in premiums."

Mr Gibson says one of the problems is that properties are not being assessed on a case-by-case basis.

"Insurance companies using postcodes to determine the risk profile for an area, rather than actually drilling down into specific locations," he said.

"For example, treating all of Gympie 4570 as being high risk, when we know for a fact that much of Gympie doesn't flood and isn't flood-affected and those areas shouldn't be treated with the same risk profile."


- ABC

© ABC 2013

More breaking news

ABC News
Sydney Morning Herald
National Nine News
News Limited

Display Your Local Weather

Weather News

Flood threat ends Victoria‚??s winter

17:20 EST

A band of rain sweeping over all districts in Victoria tomorrow may cause flooding in the state‚??s northeast.

Wet end to winter in South Australia

14:57 EST

The final rainband of the season is sweeping across South Australia today, but the heaviest rain is going to fall where it shouldn't.

Farmer confidence dips to three-year low in Tasmania after dairy price cuts, floods

12:24 EST

Farmer confidence in Tasmania has dropped to a three-year low off the back of major flooding in the state's north and retrospective cuts to milk prices.