Newsroom

February 20, 2025

Speaking in Parliament in Brisbane during the debate on the Government’s Revenue Legislation Amendment Bill 2024, Katter’s Australian Party (KAP) Deputy Leader and Hinchinbrook MP Nick Dametto has called for the Queensland Government to scrap insurance stamp duty to provide immediate cost-of-living relief and ensure North Queenslanders can access affordable insurance coverage.

 

Mr Dametto said Queenslanders were being unfairly slugged with double taxation on their insurance policies, paying both stamp duty and GST, which only serves to drive up premiums and increase underinsurance rates.

 

“In the wake of the recent devastating floods in North Queensland and across the Hinchinbrook electorate, the realisation is quickly becoming clear of just how many people in North Queensland are uninsured and vulnerable to these events,” Mr Dametto said.

 

“Over the past five years, the State Government has pocketed $6.4 billion in stamp duty from insurance premiums. They are effectively punishing people for doing the right thing and trying to protect their homes and businesses.

 

“Queensland’s extreme weather risk makes affordable insurance a necessity, not a luxury. Instead of profiting off people trying to safeguard their properties, the government should be investing in disaster mitigation programs like the Resilient Homes Fund and the Household Resilience Program.”

 

Heidi Turner from the Townsville Chamber of Commerce has also warned that Northern Australian businesses are being crippled by skyrocketing premiums and a lack of coverage.

 

"To live and operate businesses we have to have insurance, but for years in the north, we have been facing skyrocketing premiums and policy exclusions that make it impossible for many to secure affordable coverage, making disaster recovery even harder. This is a market failure in insurance, and it requires urgent government intervention,” Ms Turner said.

 

"We drafted a Federal Budget Submission about the Insurance Market Failure in Northern Australia, with six recommendations to fix this crisis including removing stamp duty on insurance as a double tax, where we also pay a tax on a tax.

 

“We have to create affordable and accessible insurance options. Without action, we will continue to see businesses forced to close or not reopen after a disaster. Jobs will be lost, and communities will be left vulnerable.”

 

A copy of the Federal budget Submission can be found here: https://www.townsvillechamber.com.au/insurance-submission/.