Three North Queensland development bodies have united to demand reforms to the government’s cyclone reinsurance pool – including that damage is covered for seven days after the end of an event.

Advance Cairns, Greater Whitsunday Alliance and Townsville Enterprise say there are “questions around the effectiveness” of the pool following the impact of Cyclone Jasper at the end of last year.

An insurance roundtable took place in Cairns today, hosted by Assistant Treasurer Stephen Jones and attended by politicians and insurer representatives.

The Insurance Council of Australia (ICA) says that 7473 claims have been lodged. However, most of the damage was caused by flooding that occurred more than 48 hours after the declared end of the cyclone, meaning those claims will not be covered by the pool.

“Ex-TC Jasper was the first event to test this framework and the pool has been left wanting, as extensive flooding occurred outside of the 48-hour claims period,” the Queensland groups say in a joint statement.

“It is imperative that the Cyclone Reinsurance Pool is fit-for-purpose and meets the challenges it set out to address, which is to provide more affordable and commercially viable insurance for North Queenslanders.”

It is important to note that the pool’s structure does not affect consumers’ ability to make a claim, as coverage is dictated by the insured’s policy.

But in theory, if a larger share of the risk is covered by the pool, greater premium savings could be passed through to consumers. This is because the pool forgoes a profit margin and is backed by a $10 billion government guarantee. Insurers are split on whether the 48-hour window should be extended.

Premium savings so far under the current pool have been underwhelming, with the Queensland groups saying that “insurance availability and affordability remains a critical concern”.

As well as extending the 48-hour period to seven days, the groups also want the pool expanded to cover flooding more broadly.

Mr Jones told media today he has “an open mind” as to whether the 48 hours should be extended.

“I'll have a look at it. I know there's some concerns and issues around the 48‑hour rule inside the reinsurance pool,” he said.

“Can I take this opportunity… to say that has zero impact on what somebody's entitled to under their insurance policy. What somebody is entitled to under their insurance policy is what it says in their insurance policy.”

The ICA says today’s roundtable was “a great opportunity to discuss recovery efforts and any roadblocks”.

“Insurers, who have been on the ground in recovery centres from December 21, have been working hard to assess damage, process claims and provide financial assistance to policyholders,” a spokesperson told insuranceNEWS.com.au.

“The ICA and insurers will continue to prioritise customers impacted by this event – and the storms that hit south-east Queensland and other areas of the east coast – as they continue to work with governments and other stakeholders to support community recovery.”