There, AA Insurance said that it had reached its maximum exposure limit to seismic risk. AA Insurance head of underwriting Dee Naidu said managing risk exposure was common practice in the insurance industry and the list of areas with temporary restrictions was not static. The couple ended up buying a different house, insuring it with AMI instead of AA Insurance. The current Natural Hazards Commission levy, and the cap the commission paid out for natural hazards claims, were sufficient to maintain insurer confidence, the spokesperson said. “These steps would reduce losses and signal to global reinsurers that New Zealand is managing its risk exposure, helping to stabilise costs.”

Source: New Zealand Herald February 03, 2026 23:16 UTC