ANYONE caught up in the “scam” that is body corporate insurance in the Far North might well want to take a look at moves by unit owners on the Gold Coast to form their own cooperative insurance scheme.
It seems ridiculous that the Far North body corporate owners who have had no major claims for cyclone damage in the past 20 years or more are hit with insurance premium rises of up to 300 per cent per annum while home owners in Brisbane, where thousands of homes were destroyed in the floods last year, faced hardly any increase.
Member for Leichhardt Warren Entsch is spot on when he says insurers are cherrypicking their markets to maximise their profits.
If they can’t offer a reasonable price for coverage in our region when there has been far much worse damage from natural disasters down south then the Federal Government should intervene and restrict their ability to operate.
We already pay over the odds living up here and if insurance premiums can’t be offered fairly, then it is not unreasonable for the Federal Government to step in and cover it.
Insurance companies would realise pretty quickly they were losing out on millions of dollars in easy money if this were the case and I’m sure they would return with a more reasonable offer.
The Federal Government has conducted a report into the problem and we are awaiting a response. In the meantime, the Gold Coast owners have decided enough is enough and are trying to build a critical mass to see if they can negotiate a better outcome.
While it would be nice to think the Government would be able to help us out, it might be a case of having to take care of it ourselves ... again.