Where premiums are offered, they’ll be considerably higher than 12 months ago. But how much higher? Brokers are being unusually cautious in their forecasts. “God only knows what the rises will be,” Mr Clarkson said.

Most speculation is around liability premiums, and those brokers prepared to make an estimate say the rises will range from anywhere between 30% to 300%. One quote with a 1000% premium rise has been noted, although in that case specialist brokers were able to get the business away for considerably less.

Wagga Wagga might seem a long way from the centre of the action in the major cities, but the problem faced by Wagga’s Tony Peterson is much the same as that faced by any broker anywhere in Australia – capacity. He said the problem for his clients is more one of placement than price. “The biggest concern is whether we’ll get the liability renewal. I have clients who have been with an insurance company for over 30 years, and suddenly the company’s stopped writing that risk.

“You try and prepare your clients for rather substantial increases. But rather than worry about the price, clients are actually happy that they’ve got the terms.”

Linton Chapman, a director of BJS Insurance Brokers in regional Victoria, agreed that the bigger issue is simply finding an underwriter to underwrite. “Everyone’s running to find cover,” Mr Chapman said. “It’s especially hard for the hotels and clubs. Sometimes it’s impossible to even get quotes for them. We’ve had to go offshore and if we can find the cover, they’ve faced increases of up to 200%.”

More on the rates rises and capacity problems as June progresses.