If Zurich Australia CEO David Smith was looking for industry support for his initiative to offer flood insurance to all policyholders, he didn’t get it this morning at the Steadfast Convention in Adelaide.

Each year the broker cluster group puts together the CEOs or senior officers of major sponsors on a panel to discuss industry issues, and today all but one declined an invitation to support or at least comment on the Zurich plan.

“I find myself in a very lonely place,” said Mr Smith, who was sharing the stage with senior representatives of Vero, Allianz, CGU, Lumley, Calliden and QBE.

He says the industry has reached the point where it “risks a PR disaster” with its continuing refusal to cover flood. “Every time there’s a major flood we hope like hell we can handle it as storm damage.”

Lumley Australia CEO David Matcham said the Insurance Council of Australia is working on the issue and “as time goes by flood cover will be available”.

But Mr Smith says action is needed immediately. “If New Zealand can cover earthquake, then Australia can insure flood.”