New Zealand Earthquake Commission Payouts Surpass $4B

New Zealand’s EQC has paid out more than $4 billion for Canterbury earthquake damage, including $870 million spent on house repairs.

EQC’s Chief Executive, Ian Simpson, says he expects that the rate of payments and claim settlements will escalate because the groundwork that is essential for resolving many claims has now been done. This includes important work such as TC3 drilling – required to determine foundation repairs – and assessments – necessary to enable land settlements.

“We’ve been in a complex investigation and development phase, and we will see the benefits of that in the coming year,” Mr Simpson says.

By the end of 2013, EQC will have:

• Referred all over-cap claims to insurers

• Paid out all building claims worth less than $15,000

• Finished the high-priority repairs in the Canterbury Home Repair Programme (those over $50,000 damage)

• Completed drilling in TC3 for under-cap buildings with foundation damage and for land damage claims

• Made on-site assessments of all flat land damage claims

• Settled all Port Hills land damage claims.

EQC’s total Canterbury claim liability is estimated at $12 billion.

Source: EQC