Insurance, household costs push inflation to 1.9%

Insurance, household costs push inflation to 1.9% | Insurance Business

Insurance, household costs push inflation to 1.9%

The cost of running a household has risen 3.1% for the year ending in September, according to the latest Consumer Price Index from Stats NZ.

The higher prices for housing and household utilities, which include insurance premiums, were the biggest contributor to inflation – now sitting at 1.9%.

Insurance premiums for both dwelling and contents contributed to the rising cost of running a household. Dwelling insurance was up 16% for the year, while contents insurance was up 4.3%. Quarterly increases in insurance premiums reflect policies being renewed at different times of the year.

Stat NZ highlighted that other drivers behind the increased cost of running a home included lifts in construction, rents, rates and electricity.

Nationally, local authority rates and payments increased 5.1%; prices for the purchase of new-built homes increased 4.1%; rents increased 2.3% and annual electricity prices rose 2.5% in the year to September.