July Extreme Weather Insurance Claims Hit $43.7m

New claims data released today by the Insurance Council of New Zealand Te Kāhui Inihua o Aotearoa (ICNZ) show that weeks of extreme weather over July resulted in 6,266 general insurance claims with a provisional value of $43.7 million.

"Extreme weather continues to hit Aotearoa New Zealand’s communities hard", said ICNZ Chief Executive, Tim Grafton. "We must act now to increase resilience and so lessen the impact of climate change on our way of life. This is not just about those things typically covered by general insurance such as our homes, vehicles and businesses. We also need to protect our infrastructure, environment and general way of life which is all too easily disrupted by climate-driven extreme weather events."

Three extreme weather events were declared by the general insurance sector in July:

- 11 - 13 July, New Zealand wide 2,570 claims $15.4 m

- 17 - 21 July, South Island 1,694 claims $16.1 m

- 24 - 27 July, New Zealand wide 2,002 claims $12.2 m

Total 6,266 claims $43.7 m

Final claims data for 20 May’s Levin tornado is also published today. Preliminary figures of 807 claims valued at $8.1 million have been finalised at 930 claims worth $11m.

While preliminary claims data for August’s extreme weather-related claims are expected around the end of the month, July’s events take the running total for such claims in 2022 to around $245m, compared to $324 million for all of 2021 which in itself set a new record.

"The rising cost of climate change is plain for all to see, both within Aotearoa and overseas. This comes at a time when we are facing rising general inflation, outsized building cost inflation and ongoing supply chain issues. These are tough times for customers and insurers alike," said Tim.

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