Common law claims from companies such as James Key areas where costs have not been quantified include Hardie can be much larger. Average compensation the costs of mental ill health associated with ARDs, and payments by James Hardie were $295 000 for the costs of the governance and reporting framework mesothelioma, $100 000 for asbestosis and $115 000 that surrounds the current footprint of asbestos in the for lung cancer in 2015–16.8 Additionally, a number of Australian community. Further research in these areas claims paid by James Hardie have been in the multi- would expand the understanding of the costs of ARD millions. However, James Hardie is only one defendant and contribute to asbestos policy development. and many claims are settled and confidential. Policies that are able to reduce asbestos exposure and Implications for future research the incidence of ARDs would reduce health system and and policy development productivity costs associated with the disease and free up valuable resources for other health priorities. ARDs impose a substantial burden on suffers and the wider community and economy. Not all costs There are a wide range of policy options, all of which associated with ARD are known, and certainly not all impose different costs and have different funding costs are measurable based on data that is available implications. The costing work understanding as part today. Hence, this report provides a lower bound of this study, and potential future work on other estimate of the financial burden of ARD in the identifiable costs, will help guide policy analysis that Australian community. seeks to establish whether changes in asbestos policy will deliver net benefits for society. KPMG, 2016, Valuation of asbestos-related disease liabilities of former 8 James Hardie entities (“the liable entities”) to be met by the AICF Trust, prepared for Asbestos Injuries Compensation Fund Limited (“AICFL”), May, 2016, available at: download.jsp?id=5839&showOrig=t
Common law claims from companies such as James Hardie can be much larger. Average compensation payments by James Hardie were $295 000 for mesothelioma, $100 000 for asbestosis and $115 000 for lung cancer in 2015–16.8 Additionally, a number of claims paid by James Hardie have been in the multi- millions. However, James Hardie is only one defendant and many claims are settled and confidential. Implications for future research and policy development ARDs impose a substantial burden on suffers and the wider community and economy. Not all costs associated with ARD are known, and certainly not all costs are measurable based on data that is available today. Hence, this report provides a lower bound estimate of the financial burden of ARD in the Australian community. Key areas where costs have not been quantified include the costs of mental ill health associated with ARDs, and the costs of the governance and reporting framework that surrounds the current footprint of asbestos in the Australian community. Further research in these areas would expand the understanding of the costs of ARD and contribute to asbestos policy development. Policies that are able to reduce asbestos exposure and the incidence of ARDs would reduce health system and productivity costs associated with the disease and free up valuable resources for other health priorities. There are a wide range of policy options, all of which impose different costs and have different funding implications. The costing work understanding as part of this study, and potential future work on other identifiable costs, will help guide policy analysis that seeks to establish whether changes in asbestos policy will deliver net benefits for society. 8 KPMG, 2016, Valuation of asbestos-related disease liabilities of former James Hardie entities (“the liable entities”) to be met by the AICF Trust, prepared for Asbestos Injuries Compensation Fund Limited (“AICFL”), May, 2016, available at: download.jsp?id=5839&showOrig=t
ASE-2274%20CIE%20Executive%20Summary.docx