The Insurance Council of Australia (ICA) and the Insurance Council of New Zealand (ICNZ) have signed a memorandum of understanding to establish the Resilient Insurance Markets Initiative, formalising a trans-Tasman partnership to coordinate advocacy and tackle the region’s rising disaster costs.
The agreement comes as both countries face compounding risks from climate volatility, cyber threats, geopolitical instability, supply chain disruption, and the rapid advance of artificial intelligence – all of which are reshaping the risk environment for households, businesses, and governments.
Australia and New Zealand already rank among the highest per capita disaster loss nations in the world, and those costs are climbing. The MoU converts what had been an informal bilateral relationship into a structured commitment to act on that shared exposure.
“The disasters battering our region are not slowing down, and the pressure on households and businesses is only growing,” ICA CEO Andrew Hall said. “Extreme weather is no longer just a community issue – it is a fiscal one, and governments across Australia and New Zealand are confronting the same mounting costs to their budgets, their infrastructure, and their economies.”
Under the initiative, the two peak bodies will focus on sharing insights on public-private risk reduction, coordinating advocacy to accelerate community resilience outcomes, and supporting regulatory alignment where it benefits consumers and productivity.
ICNZ CEO Kris Faafoi pointed to the economic case for acting early. “Every dollar invested before a disaster can return $5 to $8 in avoided losses,” he said. “Together our nations can work across the Tasman to share insights, coordinate on advocacy and better target and uplift these investments to build a more resilient region.”
The initiative will be supported by regular bilateral engagement, joint policy coordination, and ongoing knowledge sharing between the two organisations.
