The recent article in the Sydney Morning Herald about the delays in home owners having their debris removed, is yet another example of why home owners should not rely on either charity or government to bail them out in the event of a loss.
I understand that over 200 homes were destroyed and $3 million was kindly raised by charities. That equates to $15,000 per home. That is not going to furnish a home, let alone rebuild it.
Governments want to appear to be doing the right thing, like the Victorian Government offering to organise the clean up, but government is simply not set up for this type of event. Insurers are.
If people were encouraged to be fully insured it would take a burden off the government, reduce the consequential bad press and it would not erode the good work that charities are doing to raise money for so many worth while causes, such as cancer research, helping the poor etc.
I agree with the Federal Government’s decision to stop handing out welfare after an event that is easily insured for. This may sound harsh but there is only so much disposable income that the community has and to me, it should not be wasted on those that took the gamble and did not insure. The same could be said for our taxes. I would rather see the money be used for education and health and not used on a few that elected not to protect themselves.
I do not agree with the New South Wales government’s decision to impose high taxes on insurance, which is a huge disincentive for people to insure and to insure fully.
I attach a copy of the article which at the time of writing was available at