Natural disaster excess

This excess applies to some items or property that have been damaged by a natural disaster but are not covered by the Earthquake Commission (Toka Tū Ake EQC). For example, driveways, fences and swimming pools are not covered by Toka Tū Ake EQC but are covered under your Home Insurance policy.

If you have a claim for parts of your property that have been damaged in a natural disaster but are not covered by Toka Tū Ake EQC, you will need to pay a natural disaster excess. This excess is paid in addition to your usual policy excess.

Depending on the parts of your property that have been damaged, you may need to pay up to three excesses:

• The EQCover excess. This excess is a percentage based on the settlement or payment amount you receive for your EQCover claim. It is calculated as follows:

  • Dwelling claim – 1% of your EQCover settlement payment, with a minimum of $200.00 and a maximum of $3,450 (incl GST); and, if applicable

  • Land claim – 10% of your EQCover land settlement payment, with a minimum of $500.00 and a maximum of $5,000.00;

• Your policy excess. You’ll pay this if the cost to repair or rebuild your home exceeds the EQC cap. This is the excess you chose when you purchased your policy and can be found on your policy schedule.

• Natural disaster excess. You will need to pay a $5,000 excess if your natural disaster claim includes repairs for property or items not covered by Toka Tū Ake EQC.

Your Home and Landlord Insurance premium includes an amount for natural disaster insurance, which is provided by Toka Tū Ake EQC and is called EQCover.

EQCover covers natural disaster damage to your home and some damage to the land your home is built on, including: - Earthquake - Natural landslip - Volcanic eruption - Hydrothermal activity - Tsunami - Storm (land damage only) - Flood (land damage only) - Fire which occurs because of any of the above

The maximum EQCover provided for residential buildings is $345,000 (incl GST). If a natural disaster damages your home, Toka Tū Ake EQC will pay up to this amount to repair or rebuild your home.

If the cost to repair or rebuild your home exceeds the maximum EQCover, your Home or Landlord Insurance Policy will cover the remaining repair or rebuild costs, up to the value of your sum insured.

While Toka Tū Ake EQC also provides cover for damage to your land, that cover is limited and subject to certain conditions. Your Home or Landlord Insurance Policy does not cover damage to land.

For more information about EQCover and what you’re covered for, please visit the Toka Tū Ake EQC website.