Gabrielle set to cost NZ insurers at least $829 million

23 March 2023

Insurers are expecting at least $NZ890 million ($829 million) in claims losses from Cyclone Gabrielle, the Insurance Council of New Zealand (ICNZ) says today in a provisional update.

ICNZ says more than 40,000 claims have been recorded to date and the industry has paid out about $NZ70 million ($65 million).

Combined with the Auckland floods, the industry has paid more than $NZ180 million ($167 million) to policyholders. The two events occurred over the space of a fortnight in the January/February period, making it one of the most perilous summers in New Zealand history.

“Once again, the community response to this second climate-related disaster to hit Aoteraoa this year has been incredible,” ICNZ CEO Tim Grafton said.

“Even though we are now in the recovery phase, some communities continue to face acute issues around silt, housing and access.

“Insurers are doing all that they can to get assessments completed and to agree next steps with customers. In the meantime, insurers have been working hard to activate temporary accommodation benefits for homeowners and renters alike.”

ICNZ says provisional data is typically available around four weeks after the event after policy holders have lodged claims and initial assessments have been made.

Home and contents claims of around 27,800 worth an initial $NZ453 million ($422 million) have been lodged while business-related claims of more than $NZ350 million ($326 million) are expected.

For damaged and written-off vehicles more than 5000 claims have been received with losses in excess of $NZ73 million ($68 million) expected.