Premium rises are stabilising and even liability rate rises are slowing, says the Australian Competition and Consumer Commission. Its second public liability and professional indemnity insurance monitoring report finds little if anything to complain about.

The report, released yesterday by Assistant Treasurer Helen Coonan and Parliamentary Secretary Ross Cameron, is based on data received from insurers for the period ending June 30 last year. It says claims costs had begun to fall and liability lines had been restored to profitability.

“The report found increases in average public liability insurance premiums were slowing and that in the first six months of 2003 premiums had grown by just 4%, compared to an increase of 88% between 1999 and 2002,” Senator Coonan said.

“This substantial stabilisation of premium prices has been largely due to the average size of settled claims decreasing by 10% in the first six months of last year.”

And in a swing at Opposition Senators blocking changes to the Trade Practices Act to underpin state and territories tort law reforms, she suggested they should “have a good look at the results already being achieved”.

“Although we have always expected it would take some time for the benefits of the ambitious and far-reaching tort law reform to progress through to premium prices it is clear the impact is already being felt.”