The following Letter to the Editor from resident, Will Devlin, was published two weeks ago on The Newsport. With insurance such a hot topic in the region we thought it should feature as a 'The Viewpoint' column. Let us know what your experience has been. 

Last year, our Home and Contents insurance package cost us just a little over $1800 for sums insured of about $500k house and $50k contents.  I note that, in the last local phone directory that had the 'flood plan' printed inside the front covers, our address was in the 'white zone', which, in effect, meant that, even in the worst possible scenario (flood, cyclone, king-high tide) our property was 'safe'.

A few days ago, our insurer sent a letter 'inviting' us to renew the insurance contract, for the cost of a little under $3,100!!!!  Only about a 60% increase!! 

When I called the insurer, I got the standard "well, we have re-assessed Port Douglas and costs have gone up a bit".  A "bit"???  Anyway, after re-assessing the cost of re-building a standard 4 bedroom home was reduced from their estimate of $620k to their amended figure of $520k, and excess increased to $1,500 the new premium was $2,500 per annum.

Sadly, calls and internet enquiries to other insurers was to the effect "We're sorry, we don't insure PD properties". Further, a check of the current flood plan shows that our house and several neighbours who were until recently in the 'white zone' are now in the yellow zone, and, by the seeming slip of a yellow texta-colour, bound to pay exorbitant premiums for insurance which the insurance companies KNOW will never be the subject of a flooding claim.

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My questions are many; who re-writes the flooding zones, here or anywhere else, and how do they make their guess-timates?; despite 13" of rain in one night a month ago (and a similar downpour of 19" in one night 4 years ago) neither our property nor those of neighbours was under any threat of flood or flood damage, so how are we in the 'yellow zone'?; are other residents finding that the insurance companies who DO insure PD are raising their costs through the roof and expecting the householder to accept their quotes without question?

What do other readers experience?  I think the insurance companies are ripping off clients on any number of points.  The idea of insurance, from the outset was that the whole would pay a fee to cover the individual who suffered a loss; now it appears that we are paying for insurance we will never claim against, so that the insurance companies can maintain their obscene profit margins, and the fat cat managing directors and other hangers-on can continue to be paid their exorbitant salaries and enjoy the junkets that go with the salary and other perks of office.

If any of your readers have something good to say about their insurer, or pointers as to whom those of us disaffected with our current insurer, I'd be pleased to hear their point/s of view.

Regards

Will Devlin