Insurance Market Update | April 2020

The New Zealand insurance market continued to firm during 2019 with premium increases common across most classes. In the case of property, increases were accompanied by restrictions in capacity for locations in higher risk earthquake zones, with Wellington most severely impacted. However, early indications for 2020 show a slowdown or levelling out of premium increases. The liability market has also experienced challenging times with directors and officers insurance particularly affected by rising costs associated with a more litigious class action environment.

The COVID-19 pandemic is presenting significant challenges for the economy and while insurance policies generally contain infectious disease or pandemic exclusions meaning little direct exposure for insurers, there is an expectation that many businesses may look to reduce their insurance spend as part of their overall expenditure reduction efforts in coming months. This could place pressure on insurers results. We will be monitoring this situation closely and will update our market forecasts as required.

Read the full insurance market update here.

This website contains general information only and does not take into account your individual needs or financial situation. It is important to note that limits, excesses, terms and conditions and exclusions apply to the products and services outlined on this website. Please refer to the relevant policy documents for details of cover, the provision of which is subject to the insurer’s underwriting criteria that apply at the time. Please contact us if you have any questions.