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Cbus announces investments in built environment innovation and solar energy

CBUS SUPER, the Australian building and construction industry super fund, has announced new investments in innovation and solar technology.

A Cbus spokesperson said Cbus "demonstrates its commitment to the building and construction sector by partnering with Brookfield as a cornerstone investor in built environment innovation, alongside a commitment to sustainability with a global investment in Capital Dynamics’ solar projects".

Through its Brookfield partnership, Cbus will invest in technology-enabled, growth-oriented businesses with a strong connection to the built environment, leveraging Brookfield’s significant industry insight and operating capabilities.

The strategy will seek proven business models to invest in, targeting assets with robust revenue growth, strong management teams and limited technology risk. The commitment will capitalise on key built environment themes that have been accelerated by the pandemic, including the need for increased digital connectivity, health and liveability and sustainability.

Cbus chief investment officer, Kristian Fok said, “The market for emerging technology servicing the built environment is growing rapidly and will accelerate post-COVID, primarily across real estate and construction, transport and logistics, and healthcare.

“The disruption caused by COVID-19 has rapidly changed the way businesses operate, with increased reliance on technology and innovative business models as more people work from home. The Brookfield growth technology initiative will invest in the digital transformation of the built environment – linking technology, innovation and disruption.

“The strategy also supports the broader building and construction industry. The significant investment has a number of benefits, including the opportunity to leverage built environment innovation into Cbus’ assets.”

CAPITAL DYNAMICS

Capital Dynamics, together with Cbus Super and other co-investors, has completed the acquisition of a direct interest in two solar photovoltaic projects from LS Power.

Capital Dynamics’ Clean Energy Infrastructure is one of the largest renewable energy investment managers globally. The portfolio includes a 100 percent interest in Centinela Solar Energy (252 MWdc) located in Imperial County, California and a 30 percent interest in Arlington Valley Solar Energy II (175 MWdc) located in Maricopa County, Arizona.

Kristian Fok said, “This is a significant investment for Cbus, providing our members with strong risk-adjusted returns, underpinned by long-term Power Purchase Agreements with an investment grade counterparty. There is also the opportunity to optimise the assets alongside the deep experience of the Capital Dynamics management team.

“The investment aligns with our commitment to sustainability and reducing emissions, while building on our direct investment strategy to deliver stronger returns for our members.”

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Ombudsman calls for new software-specific R&D Tax Incentive

THE Australian Small Business and Family Enterprise Ombudsman Kate Carnell has called for an industry-specific R&D Tax Incentive, saying the current system is hampering investment and growth in the sector.

In a submission to the Federal Government’s Financial Technology Inquiry, the Ombudsman described the R&D Tax Incentive as unsuitable for software development in its current form.

“The R&D Tax Incentive eligibility requirements need to be changed so that it is clear and simple to claim tax incentives under the existing scheme,” Ms Carnell said.

“Alternatively a dedicated software development incentive should be created to promote investment and growth in the sector.

“With 80 percent* of all R&DTI claims made by Australian SMEs, it is clear that many small and family businesses rely on the R&DTI to help fund their research and development.

“About half (48%) of all R&DTI claims come from the software development industry, so a transparent and predictable system is absolutely vital to those businesses.”

The Ombudsman’s recommendations to the government have been echoed by industry peak bodies and private tech sector heavyweights, including Atlassian.

“We welcome submissions supporting my office’s long-held position on this issue, including Atlassian’s reported ‘strong endorsement’ of an interim recommendation to clarify the existing scheme and put a time-limit on any potential clawback action," Ms Carnell said.

“At the end of the day we want small businesses to grow into big businesses such as Atlassian and a fit-for-purpose R&DTI scheme is a key support mechanism.

“Our R&DTI report, released in December 2019, found many small and family businesses were subjected to examination and audit several years after the R&D was undertaken and the R&DTI refund had been spent.

“Often these affected businesses were required by the ATO to repay the R&DTI in full, with a severe penalty applied.

“This has had a devastating impact on the businesses involved, with some discontinuing or scaling down their R&D efforts in Australia and reducing their R&D staff," she said.

“Ultimately for SMEs to continue to invest in innovation and growth, it is critical they are supported in their R&D endeavours.”

www.asbfeo.gov.au

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AWU claims people smugglers trafficking 'slave workers' to Coffs Harbour farms

THE Australian Workers' Union wants Prime Minister Scott Morrison to announce a Royal Commission to investigate emerging evidence that Chinese migrants are living like slaves on Australian farms.

An investigation published by The New Dailyhas revealed shocking testimony from a whistle-blower, known as Mr D, who said people smugglers were charging Chinese nationals up to $50,000 for illegal jobs on a Coffs Harbour fruit and vegetable farm.

The report followed a union funded investigation, published in early December, which detailed how fruit-pickers – including backpackers and bushfire victims – were paid as little as $3 an hour by labour hirers and rogue operators in the area.

AWU national secretary Dan Walton said a hidden culture of wage theft inside Australia’s horticulture industry had created slave-like conditions for some workers, who are initially lured to farms with the promise of high wages.

“The allegations of illegal behaviour in this latest story from Coffs Harbour are simply shocking and demand swift action from authorities. Mr D has bravely exposed how Chinese people are being trafficked to Coffs Harbour and forced to work like slaves, with miniscule wages and dangerous conditions” he said.

"Australia's had inquiry after inquiry highlight these issues over the last 10 years. We’ve explored every form of inquiry available – from academic studies to Federal, State, and Territory investigations. They all have the same findings, yet the industry remains riddled with systemic exploitation. And it's getting worse not better” Mr Walton said.

Mr Walton said the AWU would shortly brief Border Force officials, on confidential evidence his union has obtained from Mr D.

He said the exploitation and illegal activity identified near Coffs Harbour is just the “tip of the iceberg”.

“Migrant workers everywhere are highly vulnerable, and unions are aware that those who speak up about mistreatment are often threatened with deportation – or worse – by the unscrupulous criminals they work for.," Mr Walton said.

I believe a Royal Commission is the only option we’ve got left to stomp out the flagrant wage theft and illegal activity taking place, which has tarnished the reputation of Australian farms. This has become the story that overseas workers tell their friends and families when they return home” he said.

Mr Walton confirmed he had also written to the Prime Minister, offering to work with him and his government on delivering both a Royal Commission, and new reforms to end the underpayment, exploitation and abuse of local and foreign workers across the farm sector.

 

LINKS

Blue Harvest Report: https://mckellinstitute.org.au/research/reports/blue-harvest/

New Daily story by Cait Kelly: https://thenewdaily.com.au/news/2020/12/07/farm-workers-exploitation/

 

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Indigenous Affairs Committee reports on food pricing, food security in remote communities

THE Indigenous Affairs Committee tabled its report on food pricing and food security in remote Indigenous communities on December 7..

The report found that food costs were very high in many remote communities, reinforcing long-held concerns regarding food security for Aboriginal and Torres Strait Islander Australians who are living remotely, however it did not find evidence of systemic price-gouging taking place in remote community stores.

Julian Leeser MP, Chair of the Committee, said, "Food security issues for remote Aboriginal and Torres Strait Islander communities are not new. For many people living remotely, food security is a constant concern. The supply of quality and affordable food is often unstable due to poor infrastructure, seasonal changes, the high costs of living and operating stores remotely.

"However, despite these challenges, the Committee also learned that there is a very good story to be told about what happened in remote communities this year during COVID-19. We have an opportunity to harness some of the lessons of the Supermarket Taskforce and the Food Security Working Group that were established this year in response to this pandemic and can build on the networks and goodwill generated through that process.’

The report recommends several measures to build on the cooperative momentum of 2020 including:

  • real-time price monitoring and a disclosure mechanism through a point of sale data system across all remote community stores.
  • a national scheme of licensing and inspection of remote community stores.
  • support for local food production schemes and enterprises.
  • maintaining the Food Security Working Group established during the COVID-19 pandemic.

Mr Leeser noted that while the committee did not find evidence of price-gouging, the persistent disquiet on the matter meant that allegations should be further considered and settled by a body equipped to do a thorough, forensic examination of what is taking place.

"It is important to acknowledge that this is the third time this matter has been examined in recent years and none of those inquiries has resolved the concerns about food prices and security that have been expressed," he said.

"Consequently, complaints concerning food pricing need to be examined by a body that is equipped to do the thorough, forensic examination that will satisfy the public. That is why the Committee is recommending these matters be investigated by the ACCC undertaking an enhanced market study which they have never done in remote communities."

The report also recommended measures to improve governance and oversight of community stores, to develop a national food security and nutrition strategy, and to encourage more competition between remote store management groups.

The report makes 16 recommendations to government and can be accessed and downloaded from the inquiry website.

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Consumer groups call for radical overhaul of privacy laws

CONSUMER groups have called for a radical overhaul of privacy laws to provide greater protections for consumers to counterbalance the increased use and exploitation of big data by business and industry.

A joint submission by Financial Rights Legal Centre together with Consumer Action Law Centre and Financial Counselling Australia to the Attorney-General’s Department Privacy Act Review, Issues Paper, October 2020 argues that substantial reform is needed to rebalance Australians’ right to privacy and ensure our laws keep pace with future economic and technological change.

Financial Rights chief executive officer Karen Cox said the review of the Privacy Act 1988 was well overdue.

“Australians want a safe and secure data environment that puts their privacy ahead of the increasingly rapacious data desires of industry,” Ms Cox said.

 “Australians have had very little power to stop the trade, misuse and abuse of their personal information. The time to strengthen our right to privacy is now.”

The joint submission describes how the rapid pace of technological change has led to a data saturated economy and the development of new business models and markets centred on the harvesting of surplus behavioural data for predictive purposes. 

Calls coincide with research released by the Consumer Policy Research Centre today which reveals:

  • 94 percent of Australian consumers are uncomfortable with how their personal information is collected and shared online;
  • 88 percent of Australian consumers do not have a clear understanding of how their personal information is being collected and shared;
  • 94 percent of Australian consumers reported not reading all of the privacy policies or T&Cs that applied to them in the past 12 months.
  • Of consumers who had read privacy policies, 69 percent reported accepting terms even though they weren’t comfortable with them – the main reason for doing so was it was the only way to access the product or service.

Consumers should be free to decide how much or how little of their information they wish to share in exchange for the use of services, Ms Cox said.

“Privacy agreements, privacy preferences, and terms and conditions are often complex and unclear so consumers don’t know what they are consenting to,” she said.

“Yet, declining to participate in data driven technologies is increasingly not an option for many consumers. Services are offered on a like it or lump it basis, meaning people have the choice to either fully participate in the modern economy or retain reasonable control of their personal data, you simply can’t do both.”

The Consumer Policy Research Centre research also found that Australian consumers believe that government has an important responsibility to ensure that consumers are protected:

  • 94 percent of consumers expected government to protect them against the collection and sharing of their personal information (67% high responsibility, 27% moderate responsibility);
  • 93 percent of consumers expected government to improve their understanding of how personal information may be collected and shared (67% high responsibility, 26% moderate responsibility);
  • 94 percent of consumers expected government to protect them from having their information being used in a way that makes them worse off.

Consumer Policy Research Centre chief executive officer Lauren Solomon said the message from Australian consumers was clear.

“Companies have too much control over their personal information. Australians expect a modern protection and enforcement regime that gives them more control and ultimately ensures that they receive fair treatment,” Ms Solomon said.

Ms Cox said while ensuring consent is freely given and informed is difficult if not impossible, there are simple reforms that could improve the process in line with reform under the Consumer Data Right.

Data collection and use exists on a spectrum from the relatively benign, through invasive but justifiable, to outright exploitation. Regulation should reflect this, with controls appropriate to the circumstance and clear prohibitions on more egregious practices, she said.

“The concept of consent has been rendered completely meaningless when it comes to protecting our privacy.” Ms Cox said. “It is time for the Privacy Act be overhauled to deliver real life protections for the modern world, rather than a cloak of legitimacy for poor practices and exploitation.”

The submission can be found here

 

BACKGROUND

Key recommendations

Update the Objectives of the Act to among other things recognise that Australians have a right to privacy and the Act must promote the protection of that right;
Acknowledge the failures of disclosure, notice and consent as an effective regulatory tool;
Build privacy and safety into the very design of data collection and handling;
Overhaul notification and consent process to make them more effective;
Introduce higher privacy standards including restricting, limiting or prohibiting certain uses and disclosures that are anathema to privacy rights such as screen-scraping, secondary direct marketing, the collection of genetic test results in life insurance, for-profit trade in personal data through data brokers/data vultures;
Establish a right to erasure, a direct right of action, a statutory tort and an unfair trade practices law;
Establish specific privacy protections for children.

 

NEW RESEARCH FROM

THE CONSUMER POLICY RESEARCH CENTRE

Transparency and informed choice

  • Privacy Policies and Terms and Conditions (T&Cs) continue to be ineffective at informing consumers of company data-handling practices – with 94 percent of Australians reported not reading all policies that applied to them in the past 12 months
  • Of consumers who had read Privacy Policy or T&Cs in the past 12 months, 69 percent admitted to having agreed to them for at least a few products/services despite feeling uncomfortable doing so

Fair practices and treatment

  • 85 percent of consumers consider it is unfair for companies to share personal information they’ve provided with other companies – while 90 percent think it is unfair for this information to be sold to other companies
  • A large majority of consumers also find it unfair when companies collect more information than is necessary to deliver the product or service they are receiving (88%)

Expectations of companies and government

The vast majority of Australians think government has a significant responsibility to:

  • Protect consumers against collection and sharing of their personal information (67% high level of responsibility, 27% moderate level of responsibility);
  • Protect consumers against information being used in ways that make them worse off (79% high level of responsibility, 15% moderate level of responsibility);
  • Improve consumer understanding of how personal information may be collected and shared (67% high level of responsibility, 26% moderate level of responsibility);
  • Ensure options to opt out of what data consumers provide, how it can be used and shared with others (68% high level of responsibility, 25% moderate level of responsibility);
  • Develop protections to ensure no one is excluded from essential products and services based on their data and/or profile (80% high level of responsibility, 17% moderate level of responsibility).

Full results of this research can be found at Consumer Policy Research Centre.

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Indian Ocean territories sustainability inquiry

THE Joint Standing Committee on the National Capital and External Territories will commence an inquiry into the challenges, barriers and opportunities for economic, social and environmental sustainability in the Indian Ocean Territories.

The inquiry will examine a range of sustainability challenges, economic opportunities and environmental issues.

Committee Chair Anne Webster MP said: “The inquiry will look at ways the economies of Cocos (Keeling) Islands and Christmas Island could be diversified, while balancing social and environmental considerations.

“We look forward to engaging with communities in the Indian Ocean Territories and hearing their views during the inquiry process.  We want to hear from all interested people and organisations, including residents, businesses and community groups.”

The inquiry terms of reference include topics such as education, research, citizen science, biodiversity, job creation, costs of living and socially responsible development.

The Committee is accepting submissions addressing the terms of reference until January 27, 2021. Further information on how to prepare and lodge a submission can be found on the inquiry website. Public hearings are expected to be held during 2021.

This inquiry will be conducted concurrently with the Committee’s inquiry into communications infrastructure.

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Federal report on national strategy for rubbish released

THE House Standing Committee on Industry, Innovation, Science and Resources recently tabled its report, From Rubbish to Resources: Building a Circular Economy.

Chair of the Committee, Barnaby Joyce MP, said, "This report addresses the dilemma in some way that the rubbish a nation creates in 2020 must be effectively, efficiently and sustainably dealt with by the nation that creates it. Finding big old holes in the ground to throw it in is a poor reflection of a nation that wishes to present itself as a clever country."

A key finding of the Committee was that Australia must be effective in delivering a unified approach across states and territories when it comes to waste management, and that the aim of a circular economy is to essentially ‘design out waste’.

The Committee has made 24 recommendations including that the Commonwealth Government, in consultation with state and territory governments, implement a pathway to a predominantly national circular economy. This pathway should pay attention to the design and composition of products to enable the greatest capacity for end of life recycling, and consider regulation and incentives to encourage greater repair, reuse, recycling and recovery of materials.

The Committee also looked to maximising the opportunities offered by rural and regional communities. It has recommended that the Federal Government prioritise its coordination and leadership by assessing the potential of rural and regional towns to manage and process waste, and by assisting with investment in the necessary infrastructure to support a local industry.’

A copy of the report is on the Committee’s website.

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Australian Magnitsky-style law now recommended

AUSTRALIA should enact a world-leading law, first actioned by the US against Russian nationals, to apply targeted sanctions to perpetrators of serious human rights abuse and corruption, according to a new Australian Parliament report.

Tabling the report in December, chair of the Human Rights Sub-committee of the Joint Standing Committee on Foreign Affairs, Defence and Trade, the Kevin Andrews said Magnitsky-style targeted sanctions would align Australia with a global movement seeking to limit opportunities for human rights abusers, corrupt officials and their beneficiaries to enjoy the proceeds of their abuses.

"These recommendations would see Australia strengthen our commitment to protecting the human rights of people around the world. The report’s recommendations would see Australia implement a world leading version of Magnitsky legislation," Mr Andrews said.

The recommended targeted sanctions would include banning entry to Australia, and the capacity to seize assets. 

"We cannot control whether perpetrators are brought to justice within their home country, but targeted sanctions legislation will make Australian beaches, schools, medical care and financial institutions off-limits to people who have profited from unconscionable conduct," Mr Andrews said.

"A targeted sanctions regime for serious human rights abuse and corruption will close the gap of opportunity for perpetrators and stop Australia becoming a safe haven for these people."

LONG PREPARATION

The report follows a wide-ranging inquiry which commenced in 2019 and incorporates submissions from over 160 individuals and organisations from around the world.

During the inquiry, the sub-committee heard evidence from a range of expert witnesses including lawyer Geoffrey Robertson OAM QC, lawyer and human rights activist Amal Clooney and Russian world chess champion and human rights advocate Garry Kasparov.

Chair of the Foreign Affairs, Defence and Trade Committee, Senator David Fawcett, endorsed the Sub-committee’s report. 

"The community, legal experts, victims of human rights abuse, and our allies have spoken and the Committee has listened," Senator Fawcett said. 

"Australia has an opportunity to become a leader in addressing human rights abuse and corruption, and we should do so at the first opportunity.

"Cooperation with like-minded nations on this matter has the potential to protect the human rights of countless citizens around the world. Australia is an attractive destination for investment and lifestyle, and we have the opportunity to reduce incentives for corrupt and unscrupulous human rights abusers.

"Respect for individuals and the freedoms that underpin the Universal Declaration of Human Rights lie at the heart of the values that have enabled the global rules based order to bring increased security and prosperity to the people of so many nations in recent decades."

Full report here.

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Public Accounts Committee reports on Defence projects and grants administration

THE Joint Committee of Public Accounts and Audit has released reports on Defence major projects and the administration of Commonwealth grants.

Report 483 focused on the 2018-19 Defence Major Projects Report and the Future Submarine Project.

“Reviewing the Major Projects Report each year has been a longstanding practice of the Joint Committee of Public Accounts and Audit and goes to the core of the Committee’s oversight role,” the Chair of the Committee, Lucy Wicks MP, said.

The Committee made seven recommendations, including that the ANAO consider improving the format and accessibility of the MPR. It also recommended that Defence commission an external performance review of the helicopter acquisition program in advance of its upcoming acquisition and clarify the thresholds that categorise Defence major projects listed as Projects of Concern.

The Committee’s report on the administration of government grants was based on Auditor-General reports concerning the National Competitive Grants Program; the Regional Jobs and Investment Packages; and the Community Sport Infrastructure Program.

Ms Wicks said, “The Committee made six recommendations, including that the Commonwealth Grants Rules and Guidelines be amended to strengthen record-keeping and reporting requirements, to ensure compliance and public accountability.”

The report also recommended that Sport Australia review its guidelines in relation to all current and future grants programs, to clarify the authority and duties of the Minister for Sport and the authority of the Australian Sports Commission.

Report 483 examined the following Auditor-General reports:

No. 19 (2019-20), 2018-19 Major Projects Report
No. 22 (2019-20), Future Submarine Program: Transition to Design

Report 484 examined the following Auditor-General reports:

No. 5 (2019-20), ARC Administration of the National Competitive Grants Program
No. 12 (2019-20), Award of Funding Under the Regional Jobs and Investment Packages
No. 23 (2019-20), Award of Funding under the Community Sport Infrastructure Program

For more information about this Committee, visit its website.

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Test case filed in Federal Court to challenge 'unlawful outsourcing' of Qantas workers

LAW FIRM Maurice Blackburn Lawyers filed a test case for the Transport Workers Union (TWU) in the Federal Court on December 9, 2020, seeking to overturn Qantas’s decision to outsource 2,000 workers. They claim the decision is unlawful under the Fair Work Act.

The case follows Qantas’s recent announcement that it was outsourcing 2,000 ground staff and replacing them with what the TWU described as "insecure labour hire workers".

Maurice Blackburn principal Josh Bornstein, who is acting for the TWU, said the case would test whether Qantas’s recent actions in sacking workers and outsourcing their jobs was unlawful.

“This legal challenge will put outsourcing on trial,” Mr Bornstein said.

“If Qantas can replace thousands of its employees with cheaper, insecure labour hire employees then this can happen to any other employee in any Australian workplace.  

“This important test case for the TWU will determine whether Qantas’s decision to sack 2,000 workers to outsource these jobs breaches workplace laws.

“The Fair Work Act makes clear that you can’t sack employees because they are entitled to collectively bargained employment conditions. By outsourcing this work, Qantas is seeking to avoid collective bargaining under the Fair Work Act," he said.

“If the outsourcing proceeds, Qantas will no longer have to negotiate with the workers who perform the work. Instead Qantas will be able to unilaterally impose a price for the services of outsourced workers, and those outsourced workers will not be allowed to bargain with Qantas under current IR laws.

“The coronavirus pandemic has highlighted the plight of insecure labour hire and outsourced workers: they aren’t paid properly, they work in unsafe conditions and they are forced to scrounge a living working at multiple jobs. Qantas has decided to pour petrol onto that fire,” Mr Bornstein said.

“This decision is bad for workers, customers and the Australian economy. More low wage, insecure jobs means less spending and more damage to a fragile economy. The only beneficiaries are big shareholders and Qantas executives,” he said.

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Insurance market failure a national crisis killing small business: report

THE Australian Small Business and Family Enterprise Ombudsman (ASBFEO) Kate Carnell has handed down her Insurance Inquiry final report, finding widespread market failure in regards to the availability and affordability of essential small business insurance products.

“Our Insurance Inquiry has revealed we are in the grip of a national crisis that is killing small businesses,” Ms Carnell said.

“The local insurance market has been hardening for years as insurers adapt their risk weightings to increasing threats. As a result, far too many Australian small businesses are on the brink of collapse because they cannot secure a range of insurance products necessary for their operation.

“Small businesses have told us they have either been denied insurance outright or their premiums have as much as tripled in just a few years, effectively pricing them out of the market," Ms Carnell said.

“Hundreds of small businesses have told my office they face closure if insurance remains unavailable to them. In reality, it means thousands of small businesses are likely impacted and there could be dire consequences for the Australian economy if left unaddressed.”

The final report makes a suite of recommendations designed to rebalance risks taken on by insurers and make small business insurance products more accessible.

A major recommendation included in the report is to expand the Australian Reinsurance Pool Corporation to provide reinsurance for all natural disasters on commercial property insurance.

“Following the devastating bushfires we saw earlier this year, many small businesses are struggling to get insurance for natural disasters,” Ms Carnell said.

“This is severely impacting small businesses such as rural pubs and regional accommodation businesses that say natural disaster coverage is inaccessible, extraordinarily costly or they have been refused coverage outright.

“In the wake of the September 11 terrorist attack in the US, the government set up the Australian Reinsurance Pool Corporation, in response to a withdrawal of terrorism insurance by insurers and reinsurers," she said.

“This should be expanded to cover small businesses in the event of a significant natural disaster by providing a vital increase in reinsurance options for commercial insurers.”

Ms Carnell said the insurance industry urgently required a mandatory Code of Practice, recommending the Australian Financial Complaints Authority (AFCA) be given additional powers to deliver dispute resolution and enforcement.

“Self-regulation in the insurance industry has failed,” Ms Carnell said.

“As it stands the insurance industry’s service and practice standards are set by voluntary codes of practice that are rarely enforced and not taken seriously by the industry.”

The report highlights a lack of availability of public liability and professional indemnity insurance, pin-pointing the unlimited nature of injury claims and potential for large damages as a key factor.

“Public liability insurance has become almost impossible for small businesses to obtain, particularly those that offer recreational activities such as caravan parks, quad bike tours or jet boating to name a few,” Ms Carnell said.

“Our report recommends Australia follow the lead of New Zealand, which has applied statutory caps on liability for personal injury. The risk environment for public liability litigation can only change through government intervention and the current framework of fault-based injury compensation creates uncontrollable risks for insurers and small businesses. It’s clear we need a civil liability framework that actually works.

“The government should also implement the Productivity Commission’s recommendation to roll out a no-fault National Injury Insurance Scheme (NIIS) to cover lifetime care for catastrophic injuries. It’s been nine years since the Productivity Commission released its Report into Disability Care and Support and yet the NIIS is still under consideration, much to the detriment of the small business sector.”

Ms Carnell thanked the 800-plus small businesses that took the time to complete the insurance survey, describing their feedback as both insightful and concerning.

“We’ve had an overwhelming response from the small business community, many of whom told us that insurance is one of their largest expenses and a lot are under-insured,” Ms Carnell said.

“We also heard reports of poor conduct by insurers, including very late notice of renewal terms and price hikes, effectively putting the small business in the position of accepting the terms or being uninsured.

“For a significant number of small businesses, insurance has become a daily stressor and a major reason for considering closure.

“In addition to the response we had from small businesses, we also welcome the 20-plus submissions we received from industry stakeholders, which helped in the development of this comprehensive report.

“Ultimately insurance is a necessity for small businesses to operate, which is why it is vital these products are fit-for-purpose and accessible so they are protected when things go wrong.” 

www.asbfeo.gov.aqu

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