NZ insurance cover costs soar
Earthquakes in the New Zealand city of Christchurch have left local insurance companies and local authorities struggling to source coverage and reinsurance as providers raise costs by up to 150 per cent. Many reinsurers have pulled out of covering New Zealand organisations completely as quake claims hit the limit of cover locally. Publicly-funded insurers of local councils, such as Civic Assurance and Local Authority Protection, have reached the end of their reserves and stop coverage on 30 June and 1 July respectively, leaving authorities requiring private insurance at triple the cost.