The Insurance Council of Australia (ICA) has welcomed the Northern Rivers Reconstruction Corporation’s (NRRC) offer to buy back more than 1000 Northern NSW homes facing significant risk from flooding. 

NRRC says the buybacks, which will be funded as part of the $700 million joint federal-state government Resilient Homes Program, will be offered for 1100 properties across flood-affected communities, prioritising those most at risk.

ICA CEO Andrew Hall says the buybacks represent a critical moment for Northern Rivers communities, where residents have been paid more than $920 million in claims since the record-breaking flood event last February/March. 

“This announcement is a historic step for the Northern Rivers in seeing community resilience improved and will make a real difference in protecting those homeowners exposed to flood risk,” Mr Hall said. 

“Managing and reducing risk in communities most exposed to flood risk is critical, and we must continue to make tough and bold decisions to move people permanently out of harm’s way and see greater investment in strengthening resilience across communities.” 

But Mr Hall says the buybacks must be used as “a lesson” and “set a new precedent” for government responses to devastating events. 

ICA also called on governments to “re-think land use planning for communities” as natural disaster risks worsen. 

“As a result of historically poor planning decisions, moving people permanently out of harm’s way will remain an important tool for governments,” ICA said. 

The NRRC’s decision comes as it releases new flood mapping data for Northern Rivers communities, outlining risk profiles and highlighting threat levels for specific areas. 

NRRC CEO David Witherdin says the findings are the “most comprehensive flood mapping and analysis available” and are being used to prioritise eligibility for the buyback program. 

“The NRRC has worked with flood experts on the flood mapping using the most up-to-date data from councils, NSW SES and other sources,” Mr Witherdin said. 

“This is now the region’s most comprehensive flood mapping and analysis available – showing the relative risk to life for each neighbourhood and the order in which further home buyback, raising and retrofit offers will be prioritised.” 

But Mr Witherdin acknowledged that the 1100 figure fell short of the number of homes at risk, saying he hoped to have funding for about 500 more buybacks. 

He says selection for the program was prioritised by those with the most significant risk to life in most floods and most likely to be inundated by fast and high floodwaters. 

The NRRC says it has already sent about 300 offers to purchase homes, with 130 homeowners accepting since initial proposals were sent in February.

Mr Witherdin says it intends to offer 800 more buybacks within the next fortnight and remains on track to inform homeowners of the offers by mid-year.