Mon, 22nd Sep 2025

In this week's Financial Services Online Insurance News Wrap, Paige Estritori covers Australian Government's launch of the National Climate Risk Assessment and National Adaption Plan, stressing the immediate need to reduce carbon emissions and reach net-zero by 2055. The reports highlight the effect of increased natural disasters, such as floods, fires and cyclones, on insurance accessibility and costs, possibly creating an underinsurance crisis. The government plans to provide aid for a cyclone reinsurance pool and invest one billion dollars in the Disaster Ready Fund as part of its commitment to address this issue. Further, the Australian Securities and Investments Commission has extended financial relief to insurance providers by allowing them to avoid designation of product distributors as officially authorised representatives until 2030. This step will help reduce regulatory burden, cut compliance costs, and allow companies to focus on service improvement, potentially leading to a more competitive industry.