The ACT Insurance Authority (ACTIA) is a statutory authority under the Insurance Authority Act 2005 (the Act). The Authority is responsible to the Treasurer and commenced operations in April 2001.
The functions of ACTIA are specified in Section 8 of the Act and include:
• carrying on the business of insurer of Territory risks;
• insuring of Territory risks with other entities;
• managing claims in relation to Territory risks;
• promoting good risk management practices; and
• giving advice to the Minister about insurance and the management of Territory risks.
ACTIA manages a fund, established to finance the cost of insurable risk for ACT Government agencies, excluding workers' compensation risks.
All government directorates and statutory authorities, unless exempted by the Treasurer, are insured with ACTIA.
ACTIA is financed through risk-based levies that reflect the asset holdings and liability risks faced by each ACT agency. The levies are set to generate sufficient funds such that ACTIA's internal funds and its overlying insurances will be able to meet all claims incurred during the current year, even if those claims are not paid until a subsequent year.
ACTIA provides a range of insurance products to agencies including cover for Public Liability, Property, Medical Malpractice, and Professional Indemnity. Each agency meets the cost of claims below the level of an agreed deductible or excess. ACTIA purchases reinsurance cover to protect the Territory against large claims or losses, or a series of such events. ACTIA's self-insured retentions are reviewed annually to ensure an appropriate balance between risk transferred and risk retained.
The ACT Government generally utilises Principal arranged insurance for works and requires appropriate levels of other insurances to be held by the contractor. The ACTIA would be consulted with respect to advice on insurances for any alliance arrangement.