The Australian Reinsurance Pool Corporation (ARPC), a government-backed terror risk reinsurance venture, is preparing for any changes that may be proposed by the Australian Treasury’s 2018 Triennial Review of its Terrorism Insurance Act 2003 (TI Act).
The TI Act requires that a review be conducted at least once every three years to consider whether it remains necessary and how it can be improved.
2018 will mark the TI Act’s fifth review, which is expected to consider how to adapt the act to emerging risks like cyber terrorism and making coverage available for victims of terrorism.
As in previous years, The Treasury is responsible for undertaking the review, and will be supported by ARPC, who will answer stakeholder questions and connect parties to The Treasury should they wish to provide input.
Christopher Wallace, Chief Executive Officer (CEO) of ARPC, said: “I am very pleased to welcome the 2018 Triennial Review terms of reference and look forward to supporting The Treasury in undertaking this important work.
“The four previous triennial reviews of the ARPC Scheme have ensured that the scheme remains fit for purpose”.
Recommendations from the last review in 2015 have all been successfully implemented by ARPC, which involved extending coverage to include certain mixed-use and high value buildings, and for Declared Terrorism Incidents that involve biological or chemical substances.