Insurance payouts for Canterbury earthquake claims have
topped $12 billion, the Insurance Council of New Zealand
It predicts 2014 will be a "watershed year" for Canterbury
earthquake claims, as 80 per cent of commercial and 66 per
cent of all residential claims had been fully settled.
As of the end of June, private insurers had paid out $7.7
billion in commercial claims and $4.4 billion in settling
residential claims, totalling $12.1 billion.
"Insurers are currently paying out $11 million a day to get
Cantabrians back into their homes and enabling businesses to
move forward," Insurance Council chief executive Tim Grafton
Last quarter saw a "major ramp up in progress" with 1517 over
cap claims settled, he said, double the previous quarter. The
figure is the equivalent of 17 claims settled daily and
insurers handing over 43 repaired or newly built homes weekly
to their customers.
"The settlement of Canterbury earthquake residential
insurance claims has definitely reached a turning point with
50 per cent of all over cap claims now fully settled and 72
per cent of the out of scope claims completed," he said.
At the end of the June quarter, insurers had 22,739 dwelling
claims over the $100,000 plus GST EQC cap, according to the
Canterbury Earthquake Recovery Authority (Cera) survey, 284
more than the March quarter.
"Private insurers have reached the halfway mark by fully
settling 11,392 over cap dwelling claims, including the
completion of 2203 rebuilds and major repairs," said Mr
Of the 11,347 over cap claims remaining, 8110 insurer-managed
rebuilds and repairs are in progress: 1611 (20 per cent of
8110) are currently under construction; 442 (5 per cent) in
consenting with a local authority or government agency; 1089
(13 per cent) under contract.
The Cera survey also confirmed that 9189 claims were cash
settled with a further 850 awaiting their agreed cash
settlement to be finalised, Mr GRafton said.
"In spite of insurers receiving over 700 newly over cap
dwelling claims from EQC this year, insurers are still
confident that almost all major repairs and rebuilds will be
completed by the end of 2016," he said.
However, Mr Grafton warned that while "some headway" had been
made, there were many complicating factors which could hinder