8 minute read
Industry bulletin
JOIN US IN CELEBRATING BROKING EXCELLENCE AND PROFESSIONALISM
The 2021 NIBA Awards will be held on 28 October 2021, to acknowledge the achievements of brokers and their underwriting partners.
CEO Dallas Booth said, “Around this time every year we celebrate the outstanding work that insurance brokers across the country do to support their clients and this year is no different; it is time to recognise excellence. #NIBA2021 has been postponed to early next year but acknowledging the dedicated people in the intermediary profession is the need of the hour. We invite everyone in the insurance community to be a part of the online festivities.”
“We are very thankful to our award sponsors, QBE and Vero who have supported us every step of the way, as well as to NIBA members who completed the 2021 Annual Broker Market Survey. Your votes will be counted to determine the winner of the General Insurer of the Year award.”
You can register on the NIBA website (niba.com.au/event/2021-nibanational-award-ceremony/) for the ceremony this year, that will be hosted virtually via Zoom and will include the following award announcements: • NIBA Warren Tickle Memorial Award, sponsored by Vero • NIBA Stephen Ball Memorial Award, sponsored by QBE • NIBA Underwriting Agency of the Year • NIBA General Insurer of the Year • NIBA Lex McKeown Award.
After more than 10 years of service as the NIBA Chief Executive Officer, Dallas Booth will be retiring on 31 October 2021. The ceremony will conclude with a tribute to celebrate and acknowledge the significant contribution he has made to the broking profession over this time. We will also welcome incoming Chief Executive Officer, Phil Kewin.
For breaking news and updates curated specially for insurance brokers please visit: niba.com.au/articles
DALLAS BOOTH TO LEAD ICA BUSINESS ADVISORY COUNCIL
NIBA has announced that CEO Dallas Booth will chair the Insurance Council of Australia (ICA) Business Advisory Council that will include representatives from the ICA, the Council of Small Business Organisations Australia, the Australian Chamber of Commerce and Industry, the Australian Small Business and Family Enterprise Ombudsman, and the Office of the NSW Small Business Commissioner.
The Advisory Council will bring together business and insurance sectors with the aim of working through practical solutions to insurance availability and affordability issues, particularly for professional indemnity, public liability, and business interruption cover.
Booth said, “It is an honour to have been invited to chair the new Business Advisory Committee announced by the Insurance Council of Australia, and I look forward to making a contribution to these important issues.”
“My goal is to build on the excellent work undertaken by Mr John Trowbridge to better understand the factors behind the difficult market conditions where they exist, and to explore potential solutions with our leading insurance executives. There are no silver bullets here, but I share Mr Trowbridge’s view that collaboration and understanding will lead to good outcomes for all concerned.”
“As this work will commence shortly, I have asked incoming NIBA CEO Phil Kewin to take the lead on these matters on behalf of NIBA.”
The Business Advisory Council is one of many measures that the ICA has announced to improve the affordability and availability of commercial insurance products for the small and medium-sized business sector. The measures are in response to recommendations contained in the final report of the Independent Strategic Review (Review) into the role of the private commercial insurance market undertaken by industry expert John Trowbridge.
ICA CEO Andrew Hall said, “The ICA welcomes the final report of the Review into the role of the private commercial insurance market and thanks John Trowbridge for this important piece of work. In establishing the Business Advisory Committee and other measures the ICA is responding to a key theme of the Review: solutions, where they exist, will require a concerted effort between the insurance sector, small business, and government.
“We are pleased this high-calibre group will be chaired by Dallas Booth, whose extensive experience in insurance and broking brings to the table the vital intermediary skill needed.”
Trowbridge’s final Review found that in the context of a hardening insurance market there is no one-sizefits-all solution to issues of affordability and availability for SMEs and that solutions require collaboration and goodwill between the insurance sector, SME sectors, and governments.
The final Review includes 13 recommendations that broadly fall into three categories: improved engagement between insurers and SME sectors; better understanding of insurance by SME policyholders; and advocacy to government and transparency. The ICA supports all recommendations of the Review.
NIBA and the Underwriting Agencies Council (UAC) will participate as required, and will separately work with the ICA to facilitate greater access by brokers to underwriters to enable more understanding of and dialogue on underwriting decisions.
You can access Trowbridge’s final report titled Role of the Private Insurance Market – Independent Strategic Review: Commercial Insurance on the ICA website: insurancecouncil.com.au/wp-content/ uploads/2021/09/210920_CommericalLines-Final-Report-Final.pdf, or scan the QR code below.
Role of the Private Insurance Market –Independent Strategic Review: Commercial Insurance
Final report
1 September 2021: Insurance Council of Australia: Document Title Goes Here insurancecouncil.com.auCommissioned by the Insurance Council of Australia
SECOND BUSINESS INTERRUPTION TEST CASE
The hearing of the second business interruption (BI) test case concluded on 15 September 2021, following eight days of submissions from insurers and policyholders before Justice Jagot of the Federal Court. The judgment was not available at the time of going to press but is being expedited, and the court has allocated time to hear any appeal in November 2021.
In the interim, the ICA has encouraged brokers to speak to their clients about collating documents necessary for any BI claims lodged or being lodged – including profit and loss statements.
Once the court determinations are known on the meaning of policy wordings around disease definition, COVID-19 outbreak proximity, the impact of government mandates, and other policy wording matters, insurers have processes in place to quickly assess and manage claims.
The insurance industry’s intention throughout both test cases has been to maximise the certainty to be provided on business interruption policy matters for the benefit of the industry and policyholders alike.
NIBA BACKS THE ICA ON NATIONAL BORDER APPROACH
NIBA CEO, Dallas Booth, has welcomed an ICA report calling for a national approach for the movement of essential disaster recovery and management personnel across state borders.
The Insurance Catastrophe Resilience Report: 2020-21 states that policyholders are likely to face lengthy delays for repairs and rebuilds unless a national approach is agreed to enable essential disaster recovery and management workers across state borders.
“Insurance brokers are essential in helping their clients navigate preparations for, and recovery from, natural disasters and major weather events. They are on the front line and have seen first-hand the challenges presented by state border restrictions, as they help their clients navigate the recovery from natural disasters. Insurance brokers serve their local communities and regions, regardless of the existence of state and territory borders,” said Booth.
“NIBA strongly supports the ICA call for a national approach in this area, as it will not only lessen the impact of future natural disasters, but also enable insurance brokers to be on the ground supporting their clients through the recovery process,” Booth added.
The Insurance Catastrophe Resilience Report: 2020-21 sets out in clear terms the impact of natural disasters on individuals and communities. Since October 2020, there have been five declared insurance catastrophes which have given rise to 134,000 claims totalling almost $2.3 billion. The Insurance Catastrophe Resilience Report will be produced annually to provide an update on recent natural disasters. The 2020-21 edition is available at insurancecouncil.com.au
For breaking news and updates curated specially for insurance brokers please visit: niba.com.au/articles
THE CHANGING FACE OF SAFETY
With driver fatigue and distraction major causes of fatal accidents on Australian roads, GT Insurance actively encourages the use of Facial Recognition Technology (FRT). FRT means inward facing cameras that are specifically designed to detect driver distraction and/or fatigue and provide real time in-cabin alerts. What are some of the potential benefits of FRT?
• HELPS drivers stay focused and alert • ALERTS if the driver is showing signs of fatigue • DETECTS if the driver becomes distracted • IMPROVES driver habits • ASSISTS in compliance with Chain of Responsibility legislation • ENHANCES workplace safety practices and culture
Increased safety. Reduced costs.
GT Insurance o ers significant additional policy benefits and potential savings to transport Clients and motor vehicle fleet customers who install approved FRT systems in their vehicles. For eligible customers, these may include: • REMOVAL of driver restrictions • REDUCED basic excess • AMENDED age or inexperienced driver excesses • ENHANCED replacement vehicle hire • INCREASED limit for non-owned trailer liability • 3 YEAR vehicle replacement from original registration date
If you're interested in learning more about the potential benefits and savings of FRT, please contact us today or visit our website gtins.com.au
Insurance products are issued by Global Transport & Automotive Insurance Solutions Pty Ltd trading as GT Insurance ABN 93 069 048 255 AFS Licence No 240714 as agent for the Insurer Allianz Australia Insurance Limited ABN 15 000 122 850 AFS Licence No 234708. Neither we nor the Insurer provide any advice on this insurance based on any consideration of your objectives, financial situation or needs. Policy terms, conditions, limits, exclusions and underwriting criteria apply. Before making a decision about it please refer to the relevant Product Disclosure Statement or Policy wording available from our website (www.gtins.com.au) or by calling us. A Target Market Determination for each product is available from our website (www.gtins.com.au). If you purchase this insurance, we will receive a commission that is a percentage of the premium. Ask us for more details before we provide you with any services.
