The Insurance Council of Australia has told a NSW Legislative Council inquiry into personal injury laws introduced by the NSW Government that they have delivered affordable, accessible insurance.

Executive Director Alan Mason told the inquiry insurers increased premiums significantly during 1997 and 2003 as a reaction to sky-rocketing public liability (PL) claims, but since reforms to both the compulsory third party motor scheme and PL were introduced, the bulk of compensation was being directed to the seriously injured allowing insurers to reduce premiums.

He says winding the reforms back at this point would be “dangerous”.

Mr Mason also took the opportunity to point out that Australian Prudential Regulation Authority statistics show PL represents only 7.7% of insurers’ total revenue.