In a blow to the legal fraternity’s push for tort reforms to be wound back, the Federal Government has applauded state and territory governments for ensuring liability premiums are more affordable and available.

Assistant Treasurer Peter Dutton says state and territory governments – in a positive display of federalism – have worked with the Commonwealth to reform negligence laws following the insurance crisis of 2001/02.

The Federal Government has also released a new publication, “Available and affordable: Improvements in liability insurance following tort law reform in Australia”.

The publication summarises changes made to various laws nationwide and discusses the positive effect on the price and availability of public liability and professional indemnity insurance.

“The early signs have been very promising, with premiums for public liability falling by 13.4% in 2005 and professional indemnity insurance falling by 6%,” Mr Dutton said. “This follows on from falls of 6.9% and 1.2% for public liability and professional indemnity respectively in 2004.”

He is encouraging the states and territories to maintain their commitment to reform so that longer-term benefits will be realised.