The Australian Amusement, Leisure and Recreation Association (AALARA) has stated that it is working with Aon, a leading global provider of risk management services, insurance and reinsurance brokerage services, to establish an industry owned and operated discretionary mutual fund for the benefit of members.
The association also said that the move is to address what it calls the “catastrophic consequences of a failing insurance market”, reported Australasian Leisure Management.
Kristy Ahrens, General Manager, AALARA, said, “Mutuals offer an alternative to the traditional insurance product and are well established in Australia having been established over the years to respond to areas of the market where insurance was becoming difficult to obtain or was cost-prohibitive. Mutuals are successfully operated by local councils, international restaurant chains, universities and motor trades.”
Saying that “a critical first step in establishing the mutual is a feasibility study”, AALARA is calling on its members to complete an online survey that would allow Aon to evaluate the risks and determine underwriters’ interest in working with the mutual.
