“Do I go without food for three days a month to have insurance? Can’t do that. Insurance is becoming a luxury.”

Those are the words from one of the 23 people interviewed by ARC Justice since the floods across the Goulburn Valley in October 2022.

ARC Justice also gathered 79 survey responses, feedback from community forums in Shepparton and Mooroopna, and has had ongoing conversations with people across the flood-affected communities, which share the same sentiment.

A new report from the rights-based, social justice organisation suggests that regional Victorians are being priced out of insurance, with some forced to choose between basic living costs and staying covered.

ARC Justice highlights the responses in its May 2026 publication Impossible Decisions: Community insights into access to affordable insurance.

The report reveals that insurance affordability is now a daily pressure for many households in the north-central Victoria region, with costs out of reach for a growing number of residents.

Around 40 per cent of people ARC Justice spoke to were uninsured or under-insured for flood, with a further nine per cent not sure if they had cover at all.

ARC Justice chief executive Damian Stock said the findings showed a shift that was spreading beyond low income earners.

“People aren’t opting out of insurance. They’re being priced out,” Mr Stock said.

“We’re hearing from working families, older people and small business owners who simply can’t make the numbers work anymore.”

The report shows sharp and inconsistent rises in premiums, with consumers reporting large discrepancies between insurers and little transparency about how their prices are set.

“My premium went from $2000 to $28,000 overnight and I didn’t have any claim,” one interviewee said.

Going without insurance is no longer a choice for many, rather it’s the end point of continuous financial pressure.

“Without cover, people are constantly living in anxiety … every time it rains,” Mr Stock said.

The report shows that the impact also extends beyond individual households.

As more people go without or reduce their insurance cover, flow-on effects include rising financial stress, adverse mental health conditions and pressure on small businesses and local services.

“What starts as a household cost issue doesn’t stay there,” Mr Stock said.

“It affects housing stability, local economies and the long-term shape of towns.”

Mr Stock said the findings suggested a broader shift in how risk was being carried.

“What we’re seeing is risk moving away from systems and on to individuals and communities,” he said.

“In high-risk areas, where insurance matters most, it’s becoming hardest to afford.”

The report outlines 20 community-driven ideas to improve access to affordable insurance, increase transparency and strengthen housing resilience.

“These are grounded in what people are living through,” Mr Stock said.

“They show there are ways forward, but it will take co-ordinated action across government, insurers and the housing system.”

ARC Justice has provided its community insights to the national Housing Resilience Action Plan 2030.

The organisation is continuing to work across sectors and with government to make sure the experiences of disaster-affected communities, and their ideas for change, are considered in any reforms.

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Tuesday, 12th November 2030

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