Understanding the Transition from EQC to Natural Hazards Commission
The passing of the Natural Hazards Insurance Act 2023 represents a great achievement by the insurance policyholders of New Zealand. The new legislation will come into effect on 1 July 2024 and will include the re-naming of the EQC to Natural Hazards Commission Toka Tū Ake to better represent the protection provided against natural hazards.
The new Act will bring about improvements in terms of coverage of mixed use properties for repair after landslides cause damage to the property’s land. Additionally, it will provide an easier excess calculation when dealing with retaining walls, bridges, and culverts.
The name change signifies the broad range of natural hazards included in the legislation – earthquakes, tsunami events, landslides, volcanic activities, and geothermal activities. In addition to insurance protection, Natural Hazards Commission Toka Tū Ake will help New Zealand communities recover and become resilient.
If you have an insurance policy that covers your residence, it would be best to look at the cover offered and make adjustments according to your needs.