Survivors of child sex abuse who couldn't access redress payments from an institution will be able to receive money from the government.
The government will jump in as a last resort if an institution is not able to meet its obligations under the National Redress Scheme because it no longer exists or is not financially able to.
Laws that passed on Thursday also improve the naming-and-shaming rules for institutions that do not join the scheme.
Survivors are eligible for payments of up $150,000 under the scheme, with the average payment being $80,000.
Labor wants the maximum payments to be increased to $250,000 and more psychological support to be available to survivors through the scheme.
The redress scheme has delivered 6200 payments totalling $535 million with an average payment of $85,000 as of mid-October.
Australian Associated Press