Consumer Information

Overseas travel insureance

Insurance situation arising from travel
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Buying insurance

Cover your property losses
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Guidelines for resolving disputes

This is how member companies resolve disputes.
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Commercial insurance

Insure against businessesdisruption
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Liability insurance

Liability Insurance is available in a number of forms covering specific Liability risks.
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Motor insurance

Motor vehicle insurance can cover you against accidental loss or damage to your vehicle
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Personal insurance

The types of cover available under personal insurance
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Marine insurance

Cover for commercial vessels and personal pleasurecraft
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Insurance fraud

An insurance claim is considered fraudulent when it is based on facts that are simply untrue
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Earthquake Commission

The Earthquake Commission (EQC) is a Crown Entity that provides seismic disaster insurance for natural disaster damage to residential property subject to the Commission's terms and conditions.

The types of natural disasters covered by the EQC include earthquakes, natural landslips, volcanic eruptions, hydrothermal activity or tsunamis. In the case of residential land it can also covers storms or floods. The EQC may also cover fire caused by any of these natural disasters.

People who purchase home and/or contents insurance are covered by the EQC.

EQC may decline any claim, either in whole or in part, for natural disaster damage if the certificate of title for that property has an entry under Section 74 of the Building Act 2004. EQC has discretion under the Act to look at each individual case on its particular merits.

Section 74 of The Building Act 2004 (and the insurance implications if this covenant is noted on your property)

Section 74 of the Building Act 2004 provides that a territorial authority may grant a building consent for building work on land that is:

"likely to be subject to erosion, avulsion, alluvion, falling debris, subsidence, inundation, or slippage".

The territorial local authority must notify the District Land Registrar. The District Land Registrar will then include an entry on the certificate of title to the land (ie. a covenant) that building consent has been issued in respect of building on land which is subject to erosion, avulsion, alluvation, falling debris, subsidence, inundation, or slippage.

• Further information on the Earthquake Commission is available on their website www.eqc.govt.nz

Your General Insurer

Your insurance company may provide natural disaster damage cover to a level beyond the maximum cover that EQC provides ($100,000). This is often referred to as EQC top-up cover.

Your insurer is in a similar position to the EQC regarding claims for damage to property that are subject to Section 74 of the Building Act.

If it is determined by EQC that a claim for natural disaster damage will not be met due to the presence of a Section 74 covenant, then your general insurer will not be able to pay a claim under the top-up cover.

General insurers may provide cover for property not covered by EQC such as gates, fences, retaining walls and swimming pools. However, claims made to general insurers are unlikely to be accepted if the insurer was unaware that a covenant was in place on the property.

Water damage - restoring books, paintings, and photographs

Do not be too hasty to throw out water damaged items. Just because something looks a sodden mess, it does not mean it cannot be recovered. Below are some simple guidelines for restoring paper-based items:

Archives should be frozen if you cannot take action immediately, as it is normal for mould growth to appear on water soaked paper-based materials within 48-72 hours after suffering water damage.

Wet papers, books, stamps, and archives should be dried slowly away from direct sunlight. Do not dry out using electric space heaters. Instead, place wet papers and books on tables. Set up portable electric fans surrounding the wet materials and ensure that a continuous air current blows on them (set fan on low). Materials will dry gradually in 2 to 7 days.

Wet books should be stored on end with their pages 'fanned open' to ensure the air current reaches all the wet pages.

Photographs are also best dried out slowly and should be hung by clips or laid flat. Nothing should be put against the face of the photograph.

If possible remove oil and water colour paintings from their frames. Lay them flat and face up with blotting paper against the back. Dry slowly. A professional would best conserve valuable paintings.

How to Minimise Your Loss in the Event of a Natural Disaster

Report your claim either directly to the insurance company, or the Insurance Claims Centre (if one has been established).

If your insurance is placed with more than one insurer, make sure you advise each one but do not duplicate your claim.

The Insurance Council has prepared the following guidelines to help minimise your loss in the event of a natural disaster:

Media

Listen to radio and television broadcasts issued by the Insurance Emergency Service.

List damage

Prepare a list of goods that you consider irreparable or which may need professional repair. Retain the list and hand it to the Loss Adjuster.

Protect your property

Use any available building materials to temporarily secure any breaches in your dwelling. Securely lock your property when it is unoccupied.

Cleaning

Remove water and debris from your dwelling, the underside of the house, and from central heating wells. Use disinfectant for cleaning.

Drying

Leave as many doors and windows open as possible to create a drying effect. Do not force-dry as this could cause further damage from shrinkage or distortion.

All vents in the exterior walls of the house should be cleared of debris to assist the drying process.

You should only use heaters after the electricity and gas supplies have been checked and found safe.

Residual water

If water has lain in the house for any length of time, remove wall linings and insulation up to the bottom of the next dwang above the watermark.

Electricity & gas supplies

If water has reached underfloor wiring or any of the wall sockets, have them checked by an Electrician or Supply Authority before using them again.

If water has covered the gas meter, contact the Gas Supply Authority.

All appliances that have been submerged in water should be checked before use.

Floor coverings

Lift all saturated carpets and floor coverings. Move carpets to outside the house. Sluice the carpets with clean, cold water and allow them to dry naturally.

Salvage

Do not dispose of any household items (perishable foods excepted) without the authority of your insurance company, the Earthquake Commission, or loss adjuster. Keep a list of perishable foods and any items in your deep freezer which have deteriorated.

Sewage

Any furnishings that have been affected by sewage overflow should be moved to outside the house. Retain these furnishings for inspection and assessment by your insurance company.

Repairs

The application of products like WD40 and CRC on motors, tools, and home appliances will retard rusting. Keep a note of any costs incurred.

 

 

 

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