The Financial Rights Legal Centre says Federal Budget funding of $2.5 million over two years for its Insurance Law Service has come at a critical time.

CEO Karen Cox says without the funding the service would have struggled to remain viable, while demand for assistance continues to increase.

Use of the Insurance Law Service has risen more than 900% since its inception in 2007 and it has responded to more than 65,000 calls for legal advice and represented more than 1400 clients as it assists people to understand complicated products, navigate claims and resolve disputes.

“This funding will enable the Insurance Law Service to rebuild and grow its specialist legal team to meet an increasing demand from consumers for legal assistance in insurance matters,” Ms Cox said.

Insurance plays an important role in supporting Australians in the face of everyday risks and increasing catastrophic weather events, and the service strives to ensure products are delivering what they promise to consumers and are effective in building community resilience, she says.

“The service also plays a vital role in assisting victim-survivors affected by family violence to negotiate the challenges related to maintaining and claiming on their insurance, and countering the impact of harmful abuse,” Ms Cox said.