Queensland Senator Susan McDonald has called on the state government to take action on insurance taxes as part of measures to reduce insurance costs in disaster-prone regions.

The Liberal National Party Senator is among voices pushing for reform as the Federal Government moves ahead with plans to introduce a cyclone reinsurance pool.

“I am calling on the state Labor Government to also match the commitment to northern Australia by removing stamp duty on renewals,” she says in a video posted on Facebook.

“That will account for about $60 million that will go back into the north Queensland economy.”

The Australian Financial Review reported today that a number of political, policy and business leaders have said the next federal government will need to look at tax reform.

Former Treasury secretary Ken Henry, who led a previous review, said reforms should increase participation and boost productivity.

“And we should modernise our indirect taxes, replacing the GST, payroll tax, taxes on insurance and other nuisance taxes with a broad-based business cashflow tax,” he says in the article.