Insurance Claims – July extreme weather insurance claims hit $43.7m

“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.

ICNZ data collection process

1. Once an event has concluded, ICNZ issues a notice to its members to record data for it.
2. Provisional data are available around four weeks after the event after policy holders have lodged claims and initial assessments have been made.
3. Final numbers are reported after around three months once most claims have been settled.
Detailed regional breakdowns are typically not available for events that affect large areas of the country.

WEATHER-RELATED LOSSES – [Provisional Figures]
11-13 July 2022 NEW ZEALAND WEATHER
Number of Claims
Total $ Amount
Domestic
2,055
10,161,316
Commercial Material Damage
317
3,558,712
Business Interruption/Loss of Profits
7
281,725
Marine (including Land Transit)
Trailercraft
Moored craft
2
13,523
0
0
0
0
Motor Vehicle
172
1,053,663
Crops
0
0
Other
17
313,805
TOTAL
2,570
15,382,744
WEATHER-RELATED LOSSES – [Provisional Figures]
17-21 July 2022 SOUTH ISLAND WEATHER
Number of Claims
Total $ Amount
Domestic
1,171
5,989,735
Commercial Material Damage
324
5,785,735
Business Interruption/Loss of Profits
3
683,501
Marine (including Land Transit)
Trailercraft
Moored craft
0
0
1
3,043
0
0
Motor Vehicle
178
1,825,386
Crops
0
0
Other
17
1,815,418
TOTAL
1,694
16,102,818
WEATHER-RELATED LOSSES – [Provisional Figures]
24-27 July 2022 NEW ZEALAND WEATHER
Number of Claims
Total $ Amount
Domestic
1,591
7,614,614
Commercial Material Damage
257
3,474,119
Business Interruption/Loss of Profits
5
74,675
Marine (including Land Transit)
Trailercraft
Moored craft
4
68,370
0
0
0
0
Motor Vehicle
129
858,793
Crops
0
0
Other
16
136,133
TOTAL
2,002
12,226,704
WEATHER-RELATED LOSSES – [Final Figures]
20 May – LEVIN TORNADO
Number of Claims
Total $ Amount
Domestic
625
8,695,558
Commercial Material Damage
96
1,189,954
Business Interruption/Loss of Profits
3
17,000
Marine (including Land Transit)
Trailercraft
Moored craft

Motor Vehicle
203
1,141,951
Crops
0
0
Other
3
9,164
TOTAL
930
11,053,627