The Marina Industries Association (MIA) has highlighted the financial strain these escalating costs impose on marina businesses. In some instances, policyholders are confronted with cyclone excesses reaching half a million dollars, rendering insurance coverage increasingly unaffordable.

In response, the MIA has urged the Federal Government to expand the cyclone reinsurance pool to include marine insurance or to provide interim premium subsidies until a scheduled review in 2025. Such measures would offer immediate relief, enabling marinas to maintain operations and continue supporting associated marine and tourism activities.

The Australian Consumers Insurance Lobby (ACIL) supports this call, noting that marine insurance was initially considered for inclusion in the reinsurance pool. The ACIL emphasises the need for prompt action to prevent further financial distress within the sector.

For stakeholders in the marine finance industry, these developments underscore the critical need for comprehensive risk management strategies and the importance of advocating for policy reforms that address the unique challenges faced by the marine sector.