PHOTO: Photos provided by AA Insurance shows damage to homes caused by gale force winds in early August. But research commissioned by the Insurance Council of New Zealand shows just over half of Kiwis know what their insurance covers. Photo credit: Supplied/AAInsurance.
Insurance industry experts are urging Kiwis to check and understand their house insurance policies to avoid nasty shocks at claim time.
In what is a timely reminder of damage unexpected weather events can cause, gale force winds wreaked havoc on houses in Auckland and Northland last Tuesday.
Photos provided by general insurer AA Insurance, show tiles blown from roofs, and gates and fences buckling under the weight of fallen trees. In another example, a conservatory was smashed to smithereens.
During Sorted ‘money week’, which runs from August 9 to August 15, the Insurance Council of New Zealand (ICNZ) is urging Kiwis to understand their insurance policies better. Research commissioned by ICNZ of 1000 Kiwis released on Monday shows just over half (54 percent) knew what their insurance covered them for. Many admitted to having no interest in reading their policy documents.
ICNZ said this backs up research from Australia and shows “overconfidence” in peoples’ understanding of insurance. But as insurance costs money, reading policy documents is important, as it’s the best way to check what’s covered (and what’s not).
“If you don’t read your policy, you don’t know what you’re covered for and could get some really nasty shocks at claim time,” an ICNZ spokesperson said.
ICNZ CEO Tim Grafton urges Kiwis to put some time aside during money week to read their policies and get their questions answered.
“We understand that insurance policies are a long read with no immediate pay-off for your time…however it’s an important part of your financial resilience to help get you back on your feet when the unexpected happens,” Grafton said.
READ MORER VIA NEWSHUB