Australia is playing catch-up on disaster mitigation, with the recent federal budget representing the latest lost opportunity to raise spending, Suncorp CFO Steve Johnston says.

“The inescapable fact is that much of our private infrastructure is simply unfit or ill prepared for the environments it is increasingly being subjected to,” he says in an opinion article.

“Years of lax planning has resulted in too many homes, businesses and communities being built in harm’s way, while too few dollars are being spent on mitigating the threats.”

Cyclone Debbie recently generated conversation on the likelihood of more severe catastrophes.

“Amid the important debate and discussion about climate change and its impact on future generations, there is one topic that is conveniently avoided – mitigation,” Mr Johnston says.

Suncorp-commissioned analysis shows a $2.5 billion mitigation program over 10 years could bring a $6.2 billion increase in GDP.

“It’s not as if the issue has not been discussed or debated,” he says. “Australia has had no less than a dozen inquiries into this issue in one form or another over the past six years.”

The federal budget included funding to the Australian Competition and Consumer Commission to monitor insurance pricing in the north over the next four years, but Mr Johnston says it fails to address the real issue.

Suncorp has also rejected suggestions that a government-backed reinsurance pool or insurance mutual may help solve issues in the country’s north.

“Neither of these measures help to better equip the homes and businesses in the region to deal with the devastation and destruction that cyclones bring,” Mr Johnston says.