Tuesday, 20 June 2023

Victorian Managed Insurance Authority

Melina BATH (Eastern Victoria) (21:09): (291) My adjournment debate this evening is for the Assistant Treasurer in the other place, and it is on behalf of Bill and Bridget Schultz. In light of yet another domestic building company collapse, the action I seek from the minister is for him to commit to a review of the Victorian Managed Insurance Authority workload capacity and implementation to support the expedition of insurance assessments so that victims can access payouts and then fund their own home completions in light of builder collapses. Fulfilling their dream to live in Gippsland, a beautiful place, my constituents Bill and Bridget until two weeks ago were watching with anticipation as their forever home was moving forward in its construction. However, tragically for them yet another building company has gone into liquidation. The insurer is the VMIA, and they were told that their assessment could be up to months away because in effect they are getting smashed with assessment requirements.

Bill and Bridget are in a very distressed state. This financial year alone ASIC statistics tell us that 1753 building and construction companies have gone broke, and the Victorian industry is certainly now in a crisis. In 2021 the expert panel on building reform from this government stated the risks associated with a greater reliance on imported and prefabricated products. Well, this is getting worse. We have got the Big Build from the Andrews government, and it is a tradie drain with our regional tradies moving into the city. We have input construction costs that are spiralling. Once upon a time we had a hardwood timber industry in Victoria, and that is closing. It is only going to put upward pressure on all builders and construction.

They are my friends as well. They wanted to live in the wonderful space at Newborough, and they are absolutely bereft. They want to get that payout. They want to start to see if they can find another builder to finish their home. The kitchen cabinet maker actually withdrew and took off all the doors because he had not been paid. They are in a distressed state, so I want the minister, the Assistant Treasurer, to investigate the VMIA and see if there are any actions that can be addressed to support the fast-tracking of insurance assessments so that the Schultzes and others – many, many hundreds of others – can go and actually get their dream homes built.