The Insurance Council of Australia (ICA) has welcomed a comprehensive coastal mapping project to be drawn up by the Federal Government.

The National Climate Resilience and Adaptation Strategy, unveiled in Paris last week by Environment Minister Greg Hunt, sets out how Australia manages climate risks, and puts forward a vision for the future.

It includes the CoastAdapt scheme, which aims to provide data for the entire country and practical guidance on how to manage risks from rising sea levels.

ICA GM Policy Risk & Disaster Karl Sullivan told insuranceNEWS.com.au significant work has already been done in this area, but it is mostly piecemeal.

“There is quite a bit of coastal mapping out there already, but it isn’t terribly consistent and it is certainly not consistently available.

“If it is going to be collated into a central point, that can only help insurers and policyholders.

“From an insurance perspective it points to storm surge, which is increasingly coming into cover at the moment, with some conditions.

“We are strongly supportive of the Government carrying out this work. It will enable insurers to increase their understanding and move into offering cover.”

The Government’s strategy document also supports the insurance industry’s emphasis on natural disaster mitigation, and notes the “critical role” it plays in risk management.

“This report reinforces the industry’s long-held position that the price signal sent by insurance premiums encourages governments, businesses and households to actively mitigate risk,” ICA CEO Rob Whelan said.

“The strategy says improved planning and investment in disaster-resilient infrastructure can reduce damage to property and communities.

“The flow-on effect is to help lower insurance premiums.”

CoastAdapt should go live in late 2017.