Cooperation from the insurance industry is needed to ensure proposed legislative changes are effective, Victorian treasurer John Brumby says.
The Victorian government is presenting a major legislative reform package in the first week of the spring session.
"We remain open to further legislative reforms including caps and thresholds on payouts, but the insurance industry needs to prove there is a direct link between the cost of insurance and these reforms," Brumby, who is acting Finance Minister, says.
"Before we could consider measures that restrict people's right to compensation, we need a clear understanding from the insurance sector that there is an economic benefit from this move and it will be passed onto the general community in the form of lower premiums."
The legislation includes:
- provision of waivers that will allow people to accept responsibility for their own participation in risky activities such as horse riding and adventure tourism
- protection of volunteers and "good Samaritans" from the risk of being sued
- proper risk management and accreditation frameworks for businesses and organisations
- improvement of legal procedures to enable quicker and cheaper civil disputes
- ensuring that saying "sorry" does not represent an admission of liability
- removing the right to claim damages where the injury was suffered through criminal activity or while under the influence of drugs.
Finance Minister John Lenders is due to meet with major insurers before the end of July.