How to Make an Insurance Claim in New Zealand

Making an insurance claim can feel overwhelming, especially when you are already dealing with an unexpected event like a car accident, house damage, or a medical issue. In New Zealand, the process varies slightly depending on your provider and policy type, but the core steps are similar. This guide will walk you through everything you need to know – from preparing your claim to following up – so you can navigate the process with confidence.

Key takeaway: The smoother your claim process, the faster you’ll get back on your feet. Preparation and clear communication are your best tools.

What is an Insurance Claim?

An insurance claim is a formal request you make to your insurance company asking them to cover a loss or damage that is listed in your policy. For example, if your car is stolen, you claim on your comprehensive car insurance. If a storm damages your roof, you claim on your house insurance.

In New Zealand, most insurance policies are governed by the Insurance Contracts Act and the Fair Insurance Code, which sets out how claims should be handled. Understanding your policy’s terms – like excess, coverage limits, and exclusions – is crucial before you start.

Step 1: Understand Your Policy Before You Claim

Before you pick up the phone, take a few minutes to review your policy documents. Look for:

  • Excess: The amount you must pay towards a claim (e.g., $500 for car insurance).
  • Coverage limits: The maximum amount your insurer will pay (e.g., $50,000 for contents insurance).
  • Exclusions: Events your policy does not cover (e.g., wear and tear, intentional damage).
  • Claim process: Some insurers require you to use their preferred repairers or suppliers.

Tip: If you are unsure, call your insurer’s claims team before lodging a claim. They can explain what is covered and what is not – this can save you time and frustration.

Step 2: Gather the Right Information

To make a claim, you will need to provide specific details. Having everything ready will speed up the process. Common information includes:

  • Your policy number and personal details.
  • Date, time, and location of the incident.
  • A clear description of what happened.
  • Photos or video evidence of the damage.
  • Police report (if the incident involves theft, vandalism, or an accident with injuries).
  • Quotes or estimates for repairs (for property damage).

Example: For a car accident, take photos of both vehicles, the road conditions, and any visible damage. Also, exchange details with the other driver.

Step 3: Contact Your Insurer Promptly

Most insurers in New Zealand have a 24/7 claims line or an online portal. Contact them as soon as possible – ideally within 24 hours of the event. Delaying could affect your claim, especially if you need urgent repairs or temporary accommodation.

What to expect: A claims advisor will ask you the details you gathered in Step 2. They may assign a claim number and let you know what happens next. Write down this number and keep it handy.

Step 4: Follow the Insurer’s Instructions

Once your claim is lodged, your insurer will guide you through the next steps. This might include:

  • Arranging for an assessor to inspect the damage.
  • Approving repairs through a preferred provider.
  • Providing temporary accommodation (for house claims).
  • Requesting additional documents or evidence.

Tip: Do not start repairs or dispose of damaged items unless your insurer tells you to. Doing so could invalidate your claim.

Step 5: Keep Records and Communicate Clearly

Throughout the claim process, keep a log of all communication with your insurer. Note dates, names of people you speak to, and any promises made. If you need to follow up, reference your claim number.

If you are unhappy with how your claim is being handled, you can escalate to the insurer’s internal complaints team or contact the Insurance & Financial Services Ombudsman (IFSO) for free mediation.

Step 6: Understand Your Claim Outcome

Once your claim is approved, your insurer will explain how they will settle it. This could be:

  • Cash settlement: They pay you directly for the loss (minus your excess).
  • Repair or replacement: They organise repairs or send you a replacement item.
  • Indemnity value: You receive the current market value of the item (e.g., for a car that is written off).

If your claim is declined, ask for a written explanation. You have the right to request a review or appeal the decision.

Key Concepts to Know

Term Meaning
Excess The amount you pay towards a claim before insurance kicks in.
Indemnity value The current market value of an item at the time of loss (often less than replacement cost).
Sum insured The maximum amount your policy will pay for a covered event.
Exclusion Events or situations your policy does not cover (e.g., flood damage in some policies).

Tips for a Smooth Claims Experience

  • Act quickly: Most insurers have time limits for lodging claims (e.g., 14 days for car accidents).
  • Be honest: Providing false or misleading information can void your policy.
  • Use the insurer’s preferred suppliers: They often guarantee the work and may offer a better price.
  • Check for additional benefits: Some policies include free counselling, rental cars, or emergency accommodation.

Common Mistakes to Avoid

  • Throwing away damaged items before an assessor sees them.
  • Not reporting theft or vandalism to the police (most insurers require a police report).
  • Making repairs yourself without approval – this can lead to claim rejection.
  • Underestimating the value of contents – keep an up-to-date home inventory.

Final Thoughts

Making an insurance claim in New Zealand doesn’t have to be stressful. By understanding your policy, acting quickly, and staying organised, you can give yourself the best chance of a fair and fast outcome. Remember, your insurer is there to help – but you need to play your part too.