Developers, unit owners and retirees are being urged to take what strata insurance they can in Far North Queensland as the region faces continued market withdrawals.

Brokers say there are only three remaining options – Zurich, AMP and specialist insurer Strata Unit Underwriters (SUU) which is underwritten by CGU – and even those choices are quickly drying up.

Some customers are facing premium rises of 400% or paying up to $3000 more than previously.

Far North Insurance Brokers Director Doug Olsen says strata is one of the most challenged lines at the moment, but there is room for an underwriter to come in and create some competition.

He is unsure why insurers are pulling out of the market but says it’s definitely not a direct reaction to the Queensland floods or Cyclone Yasi.

This comes as non-profit industry body, Strata Community Australia, calls for government intervention to fix what it says is a market failure and include this as part of an industry-wide solution for national disaster insurance cover.

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