On 30 May, 2017 the NSW Government announced it will defer the introduction of the Fire and Emergency Services Levy (FESL). The deferral of the reform (planned for 1 July 2017) will impact the removal of ESL from insurance premiums and the role of the Insurance Monitor.

The Emergency Services Levy or ESL, referred to in our documents as the Fire Services Levy or FSL, goes towards funding the fire and rescue emergency services in NSW.  This levy is charged by insurers and paid to the NSW State Government.

Insurance companies are required to contribute almost ¾ of the total budget for these services in NSW each financial year. Like other insurers, we reclaim this amount by charging an ESL on insurance policy premiums.

On 22 June 2017, The NSW Parliament passed the Emergency Services Levy Bill 2017, which requires insurers to collect the ESL on insurance premiums in the financial year commencing 1 July 2017. The bill has now passed into law and as a result Axis Underwriting Services will again be collecting ESL rates on applicable classes of policies in NSW from 01 August, 2017 (Residential Strata) and 16 August, 2017 (all other policies).

If you require further information, please contact us on (03) 8660 7000 or email us at info@axisunderwriting.com.au.