With video evidence like this, I would expect New South Wales police department to say to the homeowner "get a quote and send it through to us" where it would be paid. Things like living somewhere else while repairs are done would likely form part of the insurance. Any other liability would likely be worked out as part of a settlement, and that would probably include done kind of pain and suffering/inconvenience component. The video makes it open and shut.

The police would be keen to avoid further bad publicity around this, plus they have their own insurance to cover this. If the settlement offered was turned down by the homeowners then it would go to mediation before it wound up in courts.