ICNZ’s fight to remove unfair FENZ levy

ICNZ’s fight to remove unfair FENZ levy

As reported in Insurance News, New Zealand Insurers are working once again to abolish the unfair fire and emergency services levy imposed on Insurance policies. Those who have followed me for a while know the hard work we have put in to fight the same thing here in Australia, where we have been successful in Victoria and through www.NoTaxOnInsurance.com where we continue our efforts for the […]

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The New Zealand Government needs to abolish the Fire Service Levy on Insurance

As you all know, I have worked strongly over the years looking at getting the Australian government to abolish all tax on insurance, namely the Fire Service Levy, from all states. We have been successful in many areas, the New South Wales government is currently phasing out the Fire Service Levy there. Last month however I could not believe that while Australia has almost got […]

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Leave insurance to private enterprise

I read with disbelief that Mr Gerry Brownlee, the Minister for the Earthquake Commission, claims that New Zealand’s national natural disaster insurance scheme has been a huge success and recommends that Australia follow suit. I for one could not disagree more. The fact that so many claims are still not settled and the recent negotiated settlement which confirmed that many claims that had been settled had been done on the wrong […]

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Blog question on demand surge following a catastrophe

Hi Allan We specialise in insurance valuations in my capacity as a valuer. I do lots of work with [name quoted] from [general insurance broker named] brokers who you may know. I had a question which was posed to me by an Owners Corporation Manager and I would love to hear your perspective: In addition to the full replacement/reinstatement value (total limit of liability) – what […]

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Joint Statement on What Constitutes a Repair Under the Earthquake Commission Policy – now released

I read with the interest the joint statement between the Earthquake Commission and the EQC Action Group with the main item, which has hopefully now been resolved, is what constitutes reinstatement. The agreement confirms that reinstatement is to a condition ‘as new’ and not the pre-earthquake condition of the property. This issue, which I thought had been resolved with the introduction of the reinstatement or […]

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What does the definition of Indemnity mean when it comes to buildings?

I read with interest the latest Insurance update from DLA Piper New Zealand. Crossley Gates and his team provide a very useful service to the industry with these updates. The interest to me on this matter was that the update suggests that in New Zealand it has been common practice for an Indemnity Value on a building to be set on the reduction of the market value before and […]

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Podcast on collections under a home contents policy

Following a interesting case involving a collection that was destroyed in an earthquake, Steve Manning and I go over the issues in a podcast that I hope you find interesting and informative. Click here to view.

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New Zealand Court Decision on Multiple Damage to Building Finally Handed Down

The Supreme Court of New Zealand, the highest court in that country, brought down an important decision last week (27 August 2014) where there have been multiple earthquake claims. The history of the case is that the Supreme Court allowed an appeal by Ridgecrest, a company which owned a building formerly at 215 Gloucester St, Christchurch. The Court ruled that Ridgecrest’s policy underwritten by IAG, provided coverage for each earthquake event […]

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Case Study – Earthquake Claim – True Value of Indemnity

Our Auckland office recently settled a long standing earthquake claim and I thought it worth sharing what occurred and the end result. The first earthquake in September 2010 caused some damage which fell within the New Zealand Earthquake Commission (“EQC”) coverage cap.  Repairs were completed and EQC paid for the costs in full. The February 2011 earthquake cause more significant damage which the assessor estimated at […]

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Lessons from Christchurch and Wellington

With Wellington, the major issues that I confronted were that many tenants were horrified to find that their lease transferred the risk of the building deductible to them. Where the vast majority of the earthquake deductibles in this city is 10% of the sum insured at the location. This has meant a significant uninsured loss for the tenant who had not known or appreciated the […]

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