The Insurance Council of Australia’s (ICA) Climate Change Action Committee is tendering for expert advice on the increasing threat from coastal erosion as land collapses highlight risks from rising sea levels.

A report to be delivered by the successful tenderer will look at key issues for the insurance industry, data requirements, and options available for responding to the risks.

"Our members agree that damage from actions of the sea is likely to increase in a climate changed future, and in this way, we intend to better understand the insurance industry’s current position and future options regarding this complex hazard,” the tender document says.

“The understanding of the key issues will inform risk management decisions including future mitigating actions that may drive better outcomes for communities exposed to ongoing sea level rise.”

Potential case studies to be considered could include the erosion last month at Wamberal on the NSW Central Coast, which left homes in danger and caused residents to be evacuated.

ICA has also highlighted erosion which threatened properties at the northern Sydney suburbs of Narrabeen and Collaroy in 2016, when a low pressure system combined with a king tide to wash away beachfront.

Home insurance policies typically do not cover damage caused by actions of the sea, such as coastal erosion, king tides or storm surges.

The tender document says project objectives include developing an insurance industry position statement regarding the current status of the issues associated with actions of the sea, and what that means with ongoing sea level rise.

The final report should also canvas options for insurers and stakeholders such as land-use planning agencies and engineering design standards committees and look at requirements for a nationally consistent coastal inundation and erosion dataset.

The tender document notes that sea level rise is one of the most confident outcomes of climate change, with gains of 0.9 metres projected by 2100, and there are limitations when it comes to the ability of insurance to address issues.

An indicative timeline for the research suggests a draft report by the end of February and a final report by the end of April.

ICA established the Climate Change Action Committee at the end of 2018 to drive a range of projects.

Its sub-committees focus on data and knowledge; communication; and co-ordination collaboration and integration of action, around the strategy of “an insurable Australia”.