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Posted: Thursday, 27 April 2017
From 1 July 2017, the NSW Government will introduce a fairer system to fund NSW fire and emergency services which will move NSW into line with other mainland states. The Fire and Emergency Services Levy (FESL), which will be paid alongside council rates, replaces the Emergency Services Levy (ESL) currently paid on insurance policies. Previously only insured property owners contributed directly to the fire and emergency services. Under the FESL, all property owners will contribute.
The reform will also help reduce the high levels of underinsurance across the State. NSW currently has the highest rate of non-insurance of all states. Removal of the old ESL from insurance policies will help make insurance more affordable, allowing people to protect their properties from fire, floods, storms and other natural disasters.
Revenue raised from the FESL will go to the State Emergency Service, Rural Fire Service and Fire and Rescue NSW. The reform will be budget neutral and will not in any way adversely impact funding to these agencies.
A significant majority of fully-insured residential property owners are expected to be better off under the FESL, with an average saving of around $47 per year. Discounts will also be available for pensioners.
View Frequently Asked Questions (FAQs)
Questions about the reform? Contact NSW Treasury on 1300 787 872 or visit www.fesl.nsw.gov.au
Questions about changes to your insurance premium? Contact the insurance monitor on 1300 607 723 or visit www.eslinsurancemonitor.nsw.gov.au
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