Earthquake Commission (EQC) and Fire and Emergency New Zealand (FENZ) Levies

EQC’s Natural Disaster Fund and Fire and Emergency New Zealand are both funded via Government levies. Insurance companies, like AA Insurance, include these levies in the premium you pay and they’re passed on to the EQC and FENZ. 

The EQC Levy

The EQC levy (Earthquake Commission levy) helps to fund earthquake and other natural disaster insurance cover provided by EQC. It is included in your Home and Landlord Insurance premium and the exact amount you pay can be found in your policy notices.

The maximum EQC levy per Home or Landlord Insurance Policy is $300 (+ GST) per annum. By paying your Home or Landlord Insurance premium, you automatically pay the EQC levy and gain EQCover. This provides a maximum cover for residential buildings of $150,000 (+ GST).

For more information about what the EQC cover, please read our FAQs below or visit the EQC website.

The Fire and Emergency New Zealand Levy

The FENZ levy (Fire Service levy) helps to fund the services provided by Fire and Emergency New Zealand. It is automatically included in the insurance premium of policies which provide cover against fire, such as motor vehicles (excluding Third Party Car Insurance policies), residential contents and residential properties.

The maximum levy for residential buildings is $106 (+ GST) and $21.20 (+ GST) for residential contents per annum. The exact amount you pay can be found in your policy notices and is calculated as follows:

Insurance Type

FENZ Levy Per Annum (+ GST)

Residential Buildings and Contents

10.6c per $100 insured up to:

  • $100,000 - Residential Buildings

  • $20,000 - Residential Contents

Motor vehicles (less than 3.5 tonne gross laden weight)

$8.45 (flat rate for each motor vehicle)

Other property i.e. contract works, commercial vehicle insurance

10.6c per $100 insured 

For more information please visit the FENZ website.

Frequently asked questions

You’ll find answers for many of your questions here. If you have a more specific question or want more detail, please contact us.

Concerned about the cost of your insurance?

Here are some ways to save on your premium

  • Check your contents sum insured – use our online calculator to check it’s up-to-date and would be sufficient to replace all of your contents. For example, if you have downsized since setting up your policy, you may be paying for more cover than necessary. It’s also important your sum insured is updated when you accumulate more items, so you’re not caught short in the event you need to claim. Often, the extra bit of cover you could need, may not significantly increase your premium.

  • Review your excess – depending on what you think is manageable for your budget, you may want to review your excess. There are different excess options available, in case you need to make a claim, and generally the larger the excess, the smaller the premium. Remember, you’ll need to pay this amount if you make a claim so it should still be affordable. You should also take into account any additional excesses that may

  • Check your home sum insured – use our online calculator to check it’s up-to-date and will sufficiently cover the rebuild of your home. For more information, check out our Sum Insured page.  

  • Consider how you pay – you can choose to pay your premium annually or spread the cost by fortnightly or monthly direct debit. You’ll pay less if you pay one annual lump sum.

  • Review your benefits – you’ll find your optional benefits listed on your policy schedule or on the Policy Summary page in your My AA Insurance account. For example;

    • If you could use another vehicle while yours is being repaired and wouldn’t need us to provide a rental car, you may wish to remove the optional Rental Cover benefit from your Comprehensive Car Insurance Policy. Removing this benefit saves $50 (Inc. GST) per year.

    • You may decide you no longer want or need the optional Excess-Free Glass Cover benefit for your Home Insurance Policy. Removing this benefit saves $69 (Inc. GST) per year.