First storm of 2018 to reach more than $26 million loss
Catastrophes continue to take their toll on insurers
First storm of 2018 to reach more than $26 million loss
INSURANCE NEWS
By Krizzel Canlas
23 Feb 2018

The first storm of 2018 is likely to cost insurers more than $26 million, the latest report from the Insurance Council of New Zealand reveals.

Figures show that the total provisional cost, which includes claims made to private insurers in the first six weeks after the January 04-07 event, is now at $26.7 million.

“The storm of early January caused heavy flooding and substantial damage to the Coromandel and Bay of Plenty regions,” ICNZ chief executive Tim Grafton said. 

Grafton said the towns of Kaiāua and Thames, in particular, suffered extensively. ICNZ, along with private insurers, conducted community meetings in the towns shortly after the storm passed to talk to residents about the help they needed.

“It’s important to us as a sector to get claims resolved quickly so people can get back on their feet and talking to those affected is the first step,” he said.

“The cost of this storm so far demonstrates the importance of adapting to climate change and putting processes and infrastructure improvements in place that minimise the costs and impacts of these events.

 “As time goes on, we expect these sorts of events to become both more frequent and more severe. Every dollar spent on adaptation now will be more than repaid in future savings.”

According to ICNZ, more than 3,600 claims have been placed so far with private insurers. Final figures for the storm are expected to be known by the end of May.

 

Related stories:
Cyclone Gita hits – insurers urge action
Tips brokers can offer clients in face of extreme weather

Free newsletter

We'll keep you up-to-date with the latest breaking news, cutting edge opinion, and expert analysis affecting both your business and the industry as whole.

Free newsletter

Our daily newsletter is FREE and keeps you up - to - date with the world of Insurance. Please complete the form below and click on subscribe for daily newsletters from IB NZ.