Canterbury Earthquake Insurance Rebuild Programme Presented by Samson Samasoni, ICNZ Communications Manager CanCERN-ICNZ Community Leaders’ Session 13 March 2014
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Insurance Claim Amounts Paid • $10.22 billion paid out at the end of 2013 $6.71 billion +$2..05 billion (+42%) $4.66 billion
$3.51 billion $1..55 billion (+79%) $1.96 billion
• Commercial claims paid out, $6.71 billion (70% of total) • Does not include the largest insurance pay out in New Zealand’s history, Port of Lyttelton $438 million • Residential claims paid out $3.51 billion
Recovery Timeline
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Response Timeline
2010
2011
2012
Seismic Uncertainty CERA Established CCC Seismic Upgrade Commercial
CERA Land Zoning Decisions Declaratory Judgment EQC Apportionment EQC Drilling Programme DBH Foundation Designs CCC Flood Data Released
December 23
June 13
February 22
December 26
Port Hills GNS Mass Land Movement December 2013 – ongoing 2014
September 4
EQC Land Settlements
2013
Claims Numbers by Type
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• 12.9% of dwelling claims are over cap, from 170,000 total dwellings • CERA reports 2,638 dwelling claims undetermined whether over or under cap
170,000 2,638
145,000 21,962
64,925
Combined claims 86,887 CERA survey as at 31 December 2013
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Completed Dwelling Claims & In Resolution • Out of Scope – 37,932 or 58% complete • Over Cap – 9,119 or 42% fully settled • All Claims – 54% fully settled
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Over Cap Dwelling Claims
Of the 21,962 confirmed as over cap: CERA survey as at 31 December 2013
3, 084 claims not finalised (14%): •2,608 (12%) offer made but insured has not decided (e.g. awaiting land, in dispute or inertia)
Settled 9,119 (42%) In Resolution 9,759 (44%)
Undecided 2,608 (12%)
•476 (2%) have not been made an offer (e.g. multi units, land, recently over cap) 9,119 (42%) are fully completed & settled 9,759 (44%) in resolution scheduled for repair/rebuild, in design, underway or pending cash settlement
86% of all over cap dwelling claims settled or in resolution
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Completing “In Resolution” Claims • Meeting projected targets subject to many dependencies outside of insurer control • Uncertainty about how many dwelling claims still to become over cap 3,770 Rebuilds
• Insurers looking to breakdown “In Resolution” pipeline analysis Projected Completion of Remaining InsurerManaged “In Resolution” Repairs & Rebuilds
Rebuilds
Repairs
2014
54%
55%
2015
38%
34%
2016
8%
11%
4,698 Repairs
1,292 Cash Settlements
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Presenting “In Resolution”
An example of the ‘pipeline’ information insurers will gather collectively to support CERA survey data.
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Inaccurate Coverage of Progress
An example of ongoing misreporting by media. Front page lead story in The Press.
16% rebuilds done, not 15% 3,770 rebuilds not 4731 15% repairs done, not 10%
5,467 total repairs not 7079 Minister: “a bit of a shock�
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ICNZ Facilitation Role
Facilitated by ICNZ Facilitated by CERA
Thank you