Govt rolls out service to help homeowners with natural disaster insurance claims
Saturday, 18 February 2023
The Government is expanding a service used after the Christchurch earthquakes to help people with insurance claims following a natural disaster.
Commerce and Consumer Affairs Minister Duncan Webb said people whose homes had been damaged by a natural disaster – like Cyclone Gabrielle and the recent floods across the North Island - could use the service to assist and support them if their insurance claims got stuck.
The NZ Claims Resolution Service would be available from Monday to provide expert support to homeowners with insurance claims after natural disasters to avoid disputes, resolve issues and ensure claims were settled as quickly as possible, he said.
The nationwide service was modelled on the Greater Christchurch Claims Resolution Service and Residential Advisory Service that helped 10,000 homeowners resolve claims with insurance companies following the Christchurch earthquakes.
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“We are expanding a service that worked well in Christchurch to make it a permanent nationwide service for all forms of natural hazards,” Webb said.
“Dealing with a damaged home can be extremely stressful for homeowners and it is important that they have access to the support that they need.
“Early intervention before things go wrong, and independent technical and legal advice are key. The new national service will now make this support available to all homeowners affected by natural disasters.”
Webb said the service was “a gamechanger” in Christchurch.
He said homeowners should always try to work things through with their insurer in the first instance, but should contact the service if they became stuck or needed support with unresolved claims.
Insurers welcomed the new service, noting the growing number of climate-driven extreme weather events that were leading to an unprecedented number of insurance claims.
Insurance Council of New Zealand Te Kāhui Inihua o Aotearoa chief executive Tim Grafton said that even though the vast majority of claims were settled smoothly after major events, the new service would be invaluable in providing free and independent insurance related advice to people at what was often a very stressful time for them.
“This is particularly important where there is a complex claim. Having this understanding can often head off misunderstandings and delays in settling claims,” Grafton said.
“Where necessary, and particularly where there may be disagreements between around the value of a loss, such a service can help avoid protracted disputes and support recovery.”
Funded by the Ministry of Business, Innovation and Employment, the service would provide homeowners with case management support, access to legal, technical and wellbeing services tailored to individual and whānau needs.
Case managers would be available for those impacted by the Auckland flooding at community support hubs from Monday. For those affected by Cyclone Gabrielle support would be available locally as soon as possible.