The Australian Reinsurance Pool Corporation (ARPC) had about $13.4 billion in funding capacity for terrorism-related claims last financial year.

The terrorism pool’s annual report shows an operating surplus of $28.2 billion, about three times better than the previous financial year and $14 million above forecast.

The average price of cover for insurers was 4.9% of premium, up from 4.7%.

Premium revenue increased to $169.6 million from $147.2 million. It paid about $147.5 million in fees and dividends to the Government, which includes $55 million for the Commonwealth guarantee and $57.5 million as a dividend for retrospective compensation.

“The ARPC notes that the end of this retrospectivity will imply that future years see a modest net cash inflow after several years of decreasing net assets,” the report says.