❓ A parliamentary question probes the Treasurer regarding ICWA's financial stability, potential savings from the Motor Vehicle Claims Harvesting Bill, and the possibility of reduced CTP premiums. The answer confirms ICWA's fluctuating financial performance and suggests potential future premium reductions contingent on savings from the bill.
AnsweredQoN 4Legislative Council
QuestionView source ↗
INSURANCE COMMISSION — CLAIMS HARVESTING
4. Hon TJORN SIBMA to the minister representing the
Treasurer:
I refer to the Insurance Commission
of Western Australia's role in drafting the Insurance Legislation
Amendment (Motor Vehicle Claims Harvesting) Bill 2023.
(1) Has the
Treasurer confirmed whether ICWA is raising sufficient funds from compulsory
third-party insurance premiums to meet its liabilities?
(2) Has the
Treasurer calculated the potential for ICWA to provide less compensation to
injured parties and/or incur fewer costs after the bill passes?
(3) If yes to
(2), what are the savings ICWA seeks to achieve?
(4) If yes to (2) and (3), can
motorists expect their compulsory third-party insurance premiums to reduce?
(5) If no to (4), what is to be done
with the excess funds collected?
4. Hon TJORN SIBMA to the minister representing the
Treasurer:
I refer to the Insurance Commission
of Western Australia's role in drafting the Insurance Legislation
Amendment (Motor Vehicle Claims Harvesting) Bill 2023.
(1) Has the
Treasurer confirmed whether ICWA is raising sufficient funds from compulsory
third-party insurance premiums to meet its liabilities?
(2) Has the
Treasurer calculated the potential for ICWA to provide less compensation to
injured parties and/or incur fewer costs after the bill passes?
(3) If yes to
(2), what are the savings ICWA seeks to achieve?
(4) If yes to (2) and (3), can
motorists expect their compulsory third-party insurance premiums to reduce?
(5) If no to (4), what is to be done
with the excess funds collected?
AnswerView source ↗
I thank the honourable member for
some notice of the question.
(1)–(5) Sufficient
funds from premiums are raised to meet liabilities in some, but not all, years.
The Insurance Commission of Western Australia's
third-party insurance fund has made an underwriting loss in 12 out of the last 20 years. Curtailing predatory
claims-harvesting behaviour may result in savings and enable future consideration of reductions in compulsory
third-party insurance premiums. There will be no change to the basis on which
compensation is payable under the motor injury insurance scheme. It remains the
same.
some notice of the question.
(1)–(5) Sufficient
funds from premiums are raised to meet liabilities in some, but not all, years.
The Insurance Commission of Western Australia's
third-party insurance fund has made an underwriting loss in 12 out of the last 20 years. Curtailing predatory
claims-harvesting behaviour may result in savings and enable future consideration of reductions in compulsory
third-party insurance premiums. There will be no change to the basis on which
compensation is payable under the motor injury insurance scheme. It remains the
same.
Explore WA Government Data
Search the full archive in the free dashboard, or query programmatically via API.
Explore more
Government Gazette
Appointments, regulatory notices, planning changes.
Hansard
Debates, questions, speeches and sentiment.
Tabled Papers
Reports and documents tabled in Parliament.
Committees
Committee profiles and recent reports.
Regulations
Subsidiary legislation with filters and summaries.
Bills
Proposed laws and parliamentary progress.
Acts
Current WA legislation and summaries.
Explanatory Memoranda
Bills with EMs (text/PDF) available.
Members
MP profiles, party breakdown and rankings.
Pollie Rankings
Data-driven rankings across 19 categories.
Amendment Chains
Track how schemes and regulations evolve over time.