Terrorism Levy – Another hidden tax on insurance – You will be surprised just how much – a whopping 45% of terrorism levy collected.

Terrorism Levy – Another hidden tax on insurance – You will be surprised just how much – a whopping 45% of terrorism levy collected.

Where do we start on this thorny issue… Point 1. Report after report urges governments to remove taxes on insurance. The Federal Government’s Productivity Commission inquiry on “Competition in the Australian Financial System” released earlier this year is the latest to do so. In fact, every time the issue has been looked at, going right back to the Royal Commission into the collapse of HIH, […]

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Draft Report to Government argues for the removal of distortionary taxes.

In catching up on my reading I was drawn to a draft report which was released on 7 February 2018. The final report is expected to be handed to the Australian Government by 1 July 2018. Under the Productivity Commission Act 1998, the Government is required to table the report in each House of the Parliament within 25 sitting days of receipt. The section that I […]

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Another broker angry at the NSW Government

I received this email last night and it mirrors many phone calls and emails I have received. “The NSW ESL Insurance Monitor has now gazetted a new Section 30 Notice which requires premium comparisons to be provided with renewal invitations and renewal schedules for residential property insurance in NSW from 1 July 2017.” At what point does the State Government pull their head in & […]

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Happy to see some relief for Insurance Taxes in NSW (unless there is yet another back flip)

New South Wales Treasurer Dominic Perrottet says the state’s 2017 budget will relieve cost pressures for 600,000 small businesses in the region through the reduction of red tape, including by axing insurance duty on a range of policies for businesses with annual turnover of $2 million or less. As an aside, I am convinced governments want businesses to stay small for as soon as you […]

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Is it any wonder the public has lost faith in politicians? NSW ESL what a mess!

No news article has caused my phone or email to run to hot as the one announcing the New South Wales back flip on the removal of the State’s Emergency Services Levy earlier this week. Let us review the facts. The New South Wales government are the last mainland state in Australia to remove the levy. They did not have to reinvent the wheel, all […]

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Finally something a government has done that actually makes sense!

It was really great to read that the Victorian Government has removed stamp duty from insurance on farm policies. Well done! This on top of the removal of Fire Services Levy is a great initiative and makes the vital protection provided by insurance affordable by a segment of our economy who can least afford not to have it. Now if only other governments would show […]

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How can such a great country as New Zealand get it so wrong?

Of all the countries in the world, I admire New Zealand  more than any other. Their political leaders were, in 1893, the first in the world to give women the vote. It is the country that nurtured the pure genius of Nobel Prize winning scientist Ernest Rutherford. No such list would of course include the bravery and determination of Sir Edmund Hillary. Rutherford and Hillary both […]

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The New Zealand Government needs to abolish the Fire Service Levy on Insurance

As you all know, I have worked strongly over the years looking at getting the Australian government to abolish all tax on insurance, namely the Fire Service Levy, from all states. We have been successful in many areas, the New South Wales government is currently phasing out the Fire Service Levy there. Last month however I could not believe that while Australia has almost got […]

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Blog Question on Fire Service Levy increase

I received this question from an insured who is concerned about the Fire Services Levy, to be correct the Emergency Services Levy. I have withheld the name of the insurer as is my normal practice. ———————————- I received my home and contents insurance renewal for a policy dated 7/11/16. The Financial Services Levy (“FSL”)  included was $181.85 (estimated by [my insurer]). Along with a letter […]

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Saved a few dollars and lost the farm

The following is a sad tale that was reported in the Digital Age News (we can not call them newspapers any more). This sort of thing sickens me to the core. The moral of the story is that bad things happen to good people. I hear a lot of people say “I cannot afford insurance”. I say you cannot afford not to, as these farmers found […]

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