Kyogle Bowling Club Insurance Claim

Mr THOMAS GEORGE (Lismore) [4.47 p.m.]: I have spoken previously in the House about the January 2008 floods that affected the Northern Rivers region—namely, Kyogle, Lismore, Casino and Murwillumbah. The problems that people faced were documented at the time, and I place on record my appreciation to the Insurance Council of Australia, and Karl Sullivan and his team—we have dealt with quite a few people, so I apologise for not naming them all—for providing backup, support and advice to many of my constituents who were having insurance problems. This afternoon I will highlight the experiences of the Kyogle Bowling Club. I pay tribute to its board of directors and its secretary-manager, Todd Newton.

Kyogle is part of the electorate of Lismore, and it is a great, extremely parochial community. It certainly copped a hiding from the January floods. I have no qualms in stating that if its sister clubs and the community had not come to its rescue the Kyogle Bowling Club would have faced closure. The flood destroyed everything, and sister clubs provided the bowling club with replacement carpet, chairs, tables and stands for the poker machines. The community also provided support. The Kyogle Bowling Club was insured with Lloyd's and in its wisdom, the club provided relevant information, but its claim was knocked back. When Australian insurance companies knock back claims from clients the decision can be appealed in Australia. However, Mr Mark Smith, Policyholder and Market Assistance, Lloyd's Market Services, wrote to the bowling club stating:

At this stage I am statutorily obliged to inform you that you have the right to refer this matter to the Financial Ombudsman Service in the UK provided you do so within six months of the date of [the claim].

Who wants to appeal a decision in London? Underwriters Freeman and McMurrick have been asked to review the decision, which will be resolved in London. I understand that Lloyd's insures a lot of clubs but in the fine print, when clubs are in trouble, appeals have to be made in the United Kingdom. I spoke to the office of the Minister for Emergency Services about this matter. People should be warned that if they use overseas underwriters and make a claim against Lloyd's their appeal must be lodged overseas. That prevents many people from successfully appealing, because they do not have the resources. That is the situation of Kyogle Bowling Club. Before the flood the club was already struggling. It has had the help of sister clubs and the community. I am at a loss as to how I can assist the club to handle its appeal in the United Kingdom. It has no alternative.