How adventure tourism could die within MONTHS as insurers refuse to cover extreme sports

  • Without public liability insurance adventure tourism businesses can't operate
  • Insurers are reluctant to cover extreme sports from a lack of profit in the sector 
  • Business operators have called for the government to intervene and save them
  • They believe with unattainable insurance the industry will die within months 

Adventure tourism operators are looking at the prospect of closing down after being unable to attain public liability insurance.

Insurance companies have become reluctant to cover extreme sports in their policies due to a lack of profit in the sector, leaving many Australian businesses in limbo between contracts.

Peter Kalbfell from Jet Adventures boat tours in Dunsborough in Western Australia told ABC without available public liability insurance the entire adventure tourism industry could cease to exist within months. 

'The State Government is trying to promote [tourism campaign] 'Adventure Awaits' — well, there won't be any adventure left if the State or Federal Governments don't step in and assist,' he said.

Peter Kalbfell from Jet Adventures boat tours in Dunsborough in Western Australia (pictured) believes the adventure tourism industry will cease to exist without available public liability insurance

Peter Kalbfell from Jet Adventures boat tours in Dunsborough in Western Australia (pictured) believes the adventure tourism industry will cease to exist without available public liability insurance

Many insurers have found it is no longer financially viable to provide public liability cover, leaving adventure tourism businesses strapped. 

Business owners have approached government officials, as without insurance they cannot run their businesses. 

WA Nationals Tourism Spokesman Vince Catania said without insurance adventure tourism businesses can't operate

WA Nationals Tourism Spokesman Vince Catania said without insurance adventure tourism businesses can't operate

'If you can't operate there is no tourism product that we can sell to those visitors who want to come up and jump on a quad bike, who want to get on a boat, who want to be able to do adventure tours, whether it's on the coast or whether it's inland,' WA Nationals Tourism Spokesman Vince Catania said.

Extreme tourism operators have called for governments to follow New Zealand's lead, where businesses pay levies to the Accident Compensation Corporation in accordance to the risk of the activity. 

Jenny McClintock from Wagoe Beach Quad Bike Tours from Kalbarri in Western Australia said adventure tourism businesses need help now.

'We need some help and it's pretty urgent,' she said. 'Because the longer we go on, more businesses will close down and they won't come back.'

The Insurance Council of Australia said some specialist international brokers provide adequate cover for these types of businesses.

Jenny McClintock from Wagoe Beach Quad Bike Tours from Kalbarri in Western Australia (pictured) said adventure tourism businesses will disappear unless the industry receives help

Jenny McClintock from Wagoe Beach Quad Bike Tours from Kalbarri in Western Australia (pictured) said adventure tourism businesses will disappear unless the industry receives help

Advertisement

How adventure tourism could die within MONTHS as insurers refuse to cover extreme sports

The comments below have not been moderated.

The views expressed in the contents above are those of our users and do not necessarily reflect the views of MailOnline.

What's This?

By posting your comment you agree to our house rules.