Natural Hazards Commission Toka Tū Ake Annual Report 2023-24
On 1 July 2024, the Earthquake Commission Toka Tū Ake officially became the Natural Hazards Commission Toka Tū Ake. This significant milestone brings to a formal close the 80-year legacy of our work as the Earthquake Commission, initially known as the Earthquake and War Damage Commission, and begins another chapter for our organisation.
Our new legislation, the Natural Hazards Insurance Act 2023 (NHI Act), modernises our previous governing legislation, the Earthquake Commission Act 1993 (EQC Act). The NHI Act introduces several changes and improvements, including more clarity about the land and building cover under the scheme. In some areas, there is more cover than was previously available under the EQC Act. It also codifies a new approach to handling complaints and disputes, which is designed to make it easier for homeowners when problems arise and need to be worked through.
The ultimate test for any insurer is how well it helps those it insures recover after an event, and in our case a natural disaster event. This year we received about 2500 new claims, which is about half the number we would normally expect to receive in a year without a major event. The vast majority of these claims were managed through the Natural Disaster Response Model (NDRM), a model that provides a central point of contact for homeowners for lodging and managing claims related to EQCover, as well as the cover provided by their private insurer.
The relatively benign year claim-wise has allowed us, in conjunction with our NDRM Insurers, to accelerate the recovery effort brought about by the impacts of the 2023 North Island Weather Events. Meanwhile, work continued to progressively reduce the number of reopened claims on hand in relation to the Canterbury earthquake sequence.
This year we have put significant effort into continuing to build an effective, responsive organisation, including through our innovative Portal and progressing our data and digital strategy. We will maintain this momentum to ensure we are a world-class public insurance scheme delivering for New Zealand and New Zealanders.
As we close out the year covered by this report, we also look ahead. With our new Act now in effect, a new Statement of Intent and updated strategic framework, we are well placed to deliver on our role of reducing the impact of natural hazards on people, property and the community.