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Insurance rates on the increase due to FSL and hard market

06/19/2018

Insurance rates on the increase due to FSL and hard market

The NSW Government has reintroduced the Fire Service Levy as a component of insurance, collectible by the insurer/broker.  Newspack Insurance Broking has advised policyholders of the full details in the email which accompanies their renewal notices.  The Fire Service Levy (FSL) is an unavoidable cost imposed by the NSW Government.  Insurance companies do not make any money out of collecting the FSL – they pass it directly to the NSW Government.

On a more general level, the insurance market has entered what is referred to as a “hard’ market phase, with premiums on the rise due to increased claims across most sectors.  Every natural disaster impacts on all policyholders even though they are not directly connected to the catastrophe.  Unfortunately, that is the way insurance works.

Newspack Insurance Broking can work with you to review your sums insured to ensure they accurately reflect different risks covered by your policy.  The amount of cash held on premises has generally declined due to the increased use of EFTPOS, both debit and credit cards, and this is an area which when reviewed may result in savings for Newsagents.

For assistance with any insurance matter for Newsagents, contact Tania at Newspack Insurance Broking on 1300 852 9777.