w
NO.1.... The SOuTh ISlaNd’S largeST cIrculaTINg NewSpaper!
Wednesday October 8 2014
christchurchstar.co.nz
Phone 379-7100
House insurance cover worry By Tom Doudney MANY CHRISTCHURCH homeowners could find they are woefully under-insured following policy changes made in response to the earthquakes. Most insurers have now switched from providing total loss coverage for homeowners to letting homeowners chose their own sum insured value. But Earthquake Commission chief executive Ian Simpson says he fears that many homeowners were under-insuring their homes since the changes. His comments were yesterday backed up by Consumer New Zealand chief executive Sue Chetwin who expressed concern over the
matter. The issue centres around owners choosing to accept a default sum insured value based on a New Zealand average rather than getting an assessment of their home’s real value. Mr Simpson said private insurers were working hard to educate people and the commission might have to take a role in pushing the message too, he said.
“The risk is that you get underinsurance and which starts to impact the recovery,” he told the Sunday Star-Times at the weekend. Ms Chetwin said Consumer
NZ had shared its concerns with former Consumer Affairs Minister Craig Foss and the Insurance Council of New Zealand. Consumer Affairs had used different valuers and an insurance industry calculator to assess properties in Auckland and Wellington and received a range of different valuations. The organisation was therefore
recommending that new rules be brought in to regulate who could advise consumers on valuations and that the insurance industry look at improving its calculators. Recent surveys by quantity surveyor Construction Cost Consultants at home shows in Auckland and Wellington indicated that more than 50 per cent of people had accepted a default sum insured value. Construction Cost Consultants general manager Gary Caulfield said the insurance industry had basically passed the onus of risk assessment on to homeowners, who generally had no knowledge of how to assess risk. • Turn to page 3
Willi says it all The sliding Canterbury rugby team is chewing through its stock of players, as injured halfback Willi Heinz shows from a recent match. Sports reporter Andrew Voerman crunches the numbers on page 28. PHOTO: MARTIN HUNTER
You can move into your dream home for just
5% DEPOSIT
and NOTHING TO PAY UNTIL YOU MOVE IN.
11th, 12th Oct
mikegreerhomes
LTD
Your Dream, Our Vision
Enquire now about our House and Land packages or Design & Build options.
Call us now on 354
0166
www.mikegreerhomes.co.nz