Prime Minister Malcolm Turnbull says churches and institutions that fail to sign up to the national redress scheme should be shamed.
“If they don’t, they will fail the test of justice,” he told reporters in Sydney.
“They will fail the people they seek to represent and I think they would be judged very harshly.”
NSW and Victoria have become the first to opt-in to the scheme, which is capped at $150,000 per person.
Around 9,000 people who were abused in New South Wales government institutions, 5,000 in Victorian government institutions and 1,000 abused in institutions under the Commonwealth’s responsibility will now be covered.
It’s expected 60,000 people will be able to access the scheme if all states and institutions across Australia opt in.
“If a church or a charity or an institution doesn't sign up, I hope that they will be shamed,” Mr Turnbull said.

Caroline Carroll from the Alliance of the Forgotten Australians Source: Rashida Yosufzai
Caroline Carroll from the Alliance of the Forgotten Australians echoed the prime minister’s sentiments.
“Absolutely they should be ashamed - this is the right thing to do,” she said. “People need this.
“It won't change what happened to you in the past but it certainly will make a big difference to a lot of people.”
There are also concerns survivors of abuse who’ve been imprisoned will not be eligible.
Elisabeth Shaw from Relationships Australia says there will be many people who've “also really suffered “ to be excluded.
“It's understandable that if people have been bullied or have been very disempowered, sometimes the only map they have for getting on top of that is to perpetrate some of the same issues themselves,” she said.
Mr Turnbull has said there will be “a degree of discretion” applied in those cases.
“There will no doubt be special cases. This is an exercise that has been undertaken with heartfelt compassion, but also on the basis of ensuring that we get all the institutions and jurisdictions on board.”