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(generated from captions) began, Since the nation's flood crisis insurance hassles. victims have been talking about

Something we have been banging on

for about two weeks. but the fine print said otherwise. Some people thought they had cover on the definition of "flood". The insurance debacle hinges

Different definitions from policy to

policy. How do we clear it up? Let's

go to the bloke from the government,

it is in his job. Assistant Treasurer Bill Shorten. I'm joined now by Bill, you've come out and said system needs an overhaul. that Australia's insurance How would you change it?

Get simplicity to it?

Ening I think there are two or three

issues, only two or three with the

issue of flood insurance. For too

long Australians with home and

contents insurance and business

insurance, the fine print is simply

unclear. It is not to say insurance

companies are bad but what I think

we should have a standard definition

of flood insurance, what's covered

and in addition, when people have

their home and contents insurance or

business insurance, it should be

available at a glance, for you to be

able to tell well, I am covered for

flood or not covered for flood?

Because that's the problem, a lot of

people think they are covered, done

the right thing year in year out,

paid the premiums, come to the

crunch for the claim, at least half

are rejected because of the

definition of flood. What are you

going to do about it? There has been

discussion since 2003 on this?

That's right, this is a problem

which has been in the too hard

basket for too long, discussions in

2003, the latest effort was 2008.

The insurers come up with definition

of flood for standard clauses, they

had to go to the competition

regulator to make sure there is

competition between companies, they

checked with consumer groups and it

turned out the definition was too

nary according to some so everyone

said it was too hard. Unfortunately,

with the floods, something good may

still be able to come out of the

terrible floods, I have spoken with

the competition regulator informally

and insurance companies, I think

there agreement we should get the

problem right once and for all. It

all starts in my opinion, plain

gligs, you should look at it in a

glance. I have got a degree in

business but I can't tell you

everything in my home and contents

insurance. It is not the consumer

fault if they don't know.

Give us the time line so we can

follow it as well to make sure we do

Teague tatake? get a decision? What steps are gow

The government led by the treasurers

has met with the insurance kri

twice. The first immediate priority

is making sure the claims

thaipg think they can make with made is making sure the claims people

in a speedy fashion but we

in a speedy fashion but we flagged

the long-term issues. I see an

opportunity in the next few weeks to

be opportunities for all interested

parties, to say, the community at

large expect leaders in insurance

and consumer groups and the

relulator expect the leadership of

Australia to look after the area to

get it right. So the next few weeks.

You are talking a few weeks, we

might check in every month to see

how it is going and keep it on the agenda. agenda. That That would

That would probably be of assistance