NSW Fire Services Levy on insurance to go!

Discussion in 'Property Management' started by Scott No Mates, 7th Mar, 2017.

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  1. Scott No Mates

    Scott No Mates Well-Known Member

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    Swings and roundabouts.

    The fire levy is being removed from your insurance policies shortly. Keep an eye out for a cheque from your insurer.

    Sounds too good to be true? Well, you're right.

    It's going to be levied on your NSW council rates with a fixed and variable component based on the land value.

    Good news (hopefully) as all ratepayers will be picking up the cost rather than only those who insure.

    It also applies to commercial/retail properties so if you have a nett or semi-nett lease it could be recoverable/payable (read your outgoings clauses) & ensure your PM picks it up and adjusts it correctly ie. not double dipped or credits raised prematurely.
     
    Scott No Mates, 7th Mar, 2017
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    bob shovel likes this.
  2. dabbler

    dabbler Well-Known Member

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    I think I read EBM is now doing flood and no extra cost because this levy is going.
     
    dabbler, 7th Mar, 2017
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  3. bob shovel

    bob shovel Well-Known Member

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    Are all states aligned now? and putting it on the rates?
    Qld used to have it on the electrcity bill some years ago. not sure where it is now. but that seems fair way to do it. if yo live there and have electricity you also pay for emergency services.
     
    bob shovel, 7th Mar, 2017
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  4. Scott No Mates

    Scott No Mates Well-Known Member

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    Probably more effective again than on the rates (lowers the owners costs). Councils and government don't pay rates unless they're leasing so there's a whole additional group who would be captured.
     
    Scott No Mates, 7th Mar, 2017
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  5. Simon Hampel

    Simon Hampel Founder Staff Member

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    No, South Australia has a separate "Emergency Services Levy" which is collected directly by RevenueSA, but it is levied based on land ownership, so is effectively the same thing as being including in rates.

    It is calculated as a Fixed Charge + Variable Charge - Reductions/Concessions, where the Variable Charge is calculated based on Capital Value (with weightings for Effective Area and Effective Land Use)
     
    Simon Hampel, 7th Mar, 2017
    #5