Residential Canterbury customers are advised to contact their insurers if they have an outstanding 2010/2011 earthquake claim and are unsure on how the Limitation Act will affect them, according to the Insurance Council of New Zealand.

“We encourage any homeowner with an outstanding Canterbury earthquake claim to contact their insurer to discuss the individual circumstances of their claim,” ICNZ Chief Executive Tim Grafton said.

The industry body, back in 2015, had advised Canterbury residents that the main residential private insurers would not rely on the Limitations Act before Sept. 4.  According to ICNZ, given the uncertainties surrounding how the act works, insurers and EQC have taken a range of positions.

By getting something in writing from their insurer, Grafton said, residents with Canterbury claims could have peace of mind on the issue and could focus on reaching settlement.  “If customers are in any doubts about their position they should speak to their insurer,” he said.

“There is no need to worry about rushing to court and incurring costs to protect your legal position when you can simply make a call to your insurer to understand its position on its Limitation Act rights in relation to your claim” he said.

ICNZ said in a statement that the Limitation Act applies to any claim made in the courts and not just insurance claims. It gives a defence where more than six years have elapsed since the act or omission giving rise to the claim.


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