About ARPC

Australian Reinsurance Pool Corporation is a corporate Commonwealth entity established under the Terrorism Insurance Act 2003 (TI Act). It is also subject to the Public Governance, Performance and Accountability Act 2013 (prior to 1 July 2014, the Commonwealth Authorities and Companies Act 1997.)

The role of ARPC was to establish and subsequently provide ongoing administration of, a scheme that would provide insurance cover for eligible terrorism losses, involving commercial property, associated business interruption losses and public liability.

 On 30 March 2022, Parliament passed the Treasury Laws Amendment (Cyclone and Flood Damage Reinsurance Pool) Bill 2022. The Bill received Royal Assent and became law on 31 March 2022.

The Act amends the Terrorism Insurance Act 2003 to establish a framework for a cyclone and cyclone-related flood damage reinsurance pool by extending the operation of the terrorism reinsurance scheme administered by Australian Reinsurance Pool Corporation (ARPC); as well as amends the title of the Act to the Terrorism and Cyclone Insurance Act 2003. It also amends the Insurance Act 1973 to create a civil penalty for insurers who do not reinsure eligible cyclone risks with the ARPC.

The Cyclone Reinsurance Pool will operate from 1 July 2022.