Why the average premium costs so much

State-based taxes make up 10% to 30% of the premium. The cost of natural catastrophes contributes 25% to 80%.

Average (mean) retail premium components. "Other" includes insurer expenses, attritional losses, reinsurance net cost and profit margin. The NSW Emergency Services Levy is passed on at the discretion of each insurer. These figures assume a 17.5% loading for all NSW homeowners.

Source: The Actuaries Institute