ANNOUNCEMENT – CGU Joins the Cyclone Reinsurance Pool!
Small Business can now benefit from the potential decrease in insurance premiums by insuring with the insurer’s who are part of the cyclone reinsurance pool.
As of 1 July 2023, Allianz, QBE, and Suncorp had joined the pool, now another major insurer, CGU has also joined.
What is the Cyclone Reinsurance Pool?
The Cyclone Reinsurance Pool (Pool) is a reinsurance arrangement between insurers and the Australian Reinsurance Pool Corporation (ARPC).
The Pool operates Australia wide and covers cyclones and cyclone-related flood damage.
The Pool is intended to make insurance more affordable for eligible home and contents, residential strata, landlord policies and commercial property with maximum sum insured less than or equal to $5 million.
Savings from the Pool are passed on through new customer policies and policy renewals.
The savings on a customer’s premium will depend on customer circumstances.
There is no change for our customers when they need to lodge a claim.
Related links: https://arpc.gov.au/reinsurance-pools/cyclone/
When do pricing changes become effective?
Pricing for some products has begun to incorporate the pool impacts already, and towards December 31st 2023 all eligible products will incorporate pool pricing. As customers renew, or purchase new business, their premiums will reflect all pricing influences including the pool impacts.
How does this impact you?
Small Business can benefit from the potential decrease in insurance premiums by insuring with the insurer’s that are part of the cyclone reinsurance pool. As of 1 July 2023, Allianz, QBE, and Suncorp had joined the pool, now another major insurer, CGU has also joined. Hopefully we will see some premium relief for the customers in North Qld from this.
How to get Involved
Your broker will be able to navigate the premium offering from Allianz, QBE and CGU who are part of the reinsurance pool and ensure that the customer can take full advantage of the rate reductions that may be on offer, instead of going to each insurer themselves to source the quotations. Their broker will also have insight into the types of policies that are being offered with the premiums supported by the cyclone reinsurance pool.
Does this change processes for brokers or customers?
There is no change to customer policy coverage, brokers’ sales processes, or the claims handling process.
Further queries?
Please contact any one of our team here at Northern Insurance Brokers on 07 4783 1310 if you have a question about how the Cyclone Reinsurance Pool.
Northern Insurance Solutions (NIS) know business insurance and fight for the rights of North Queensland businesses to receive quality insurance policies that are ‘value for money’ and supported locally by a professional, results-driven team who care!
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With a staff combined 100 years of experience, you can trust in our team to provide a holistic approach for creating effective insurance solutions using globally branded products from Steadfast.
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