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❓ A WA parliamentary question seeks details about the insurance indemnity provided to Perth Airport Pty Ltd for a Public Transport Authority project, including costs, insurers, and selection process. The Treasurer provides a detailed response.

AnsweredQoN 5630Legislative Assembly

Asked

30 June 2016

Member

Mr W.J. Johnston

Portfolio

Treasurer

QuestionView source ↗

I refer to the note on page 71 of Budget Paper Number 3 regarding the indemnity to Perth Airport Pty Ltd and I ask: (a) which agencies have paid the premium for the insurances referred to in this note; (b) how much has this insurance/these insurances cost; (c) which counter party/insurer holds this policy/these policies; and (d) how were these counter party/insurers selected?

AnswerView source ↗

Answered

16 August 2016

Response time

47 days

(a) The Public Transport Authority. (b) The Public Transport Authority will pay a $3.14 million (including GST) premium for the general liability insurance for the construction phase of the project. There is no extra cost associated with the indemnity (as Perth Airport Pty Ltd was named as an insured party on the general liability policy). (c) The insurance has been taken out using a number of layers including: • primary layer – certain underwriters at Lloyds, QBE Europe and Liberty International; • first excess layer – Allianz Australia; and • remaining excess layers include a variety of other companies such as AIG, ACE and Zurich. (d) Through insurance broker AON via a tendering process which included the Australian/Asian and UK insurance markets.

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