The Federal Government should provide $250 million a year to pay for buy-back and home-raising projects, the Insurance Council of Australia (ICA) says. 

In a pre-budget submission, ICA says state and territory governments should match the funds to provide a $500 million commitment to move upwards of 750 families out of flood danger zones each year. 

Governments have already provided $1.6 billion in jointly funded projects to buy back at-risk properties, with about 1300 homes purchased across Queensland and NSW. But ICA says further support is needed. 

The proposed fund would act separately from the $200 million-a-year Disaster Ready Fund, which ICA says should be extended to a 10-year rolling program. 

It also calls for long-overdue tort reform to help address public liability affordability issues, and floats the idea of government involvement in reinsuring catastrophic cyber risk. 

See Analysis.