EQC’s insurance is called EQCover.
EQCover provides natural disaster insurance for residential homes, land and contents.
- You automatically have EQCover for your home and land (see details) if you have a current private insurance policy for your home that includes fire insurance (and most do).
- You automatically have EQCover for your contents if you have a current private insurance policy for your contents that includes fire insurance (and most do).
Natural disasters that are covered
EQCover insures you against loss or damage from:
- an earthquake
- a natural landslip
- a volcanic eruption
- hydrothermal activity
- a tsunami.
It insures your residential land (within limits) against storm and flood damage.
It also insures you for fire resulting from any of these natural disasters.
If your home isn't damaged after one of these disasters but damage is imminent as a direct result of one of them, EQCover may also apply.
What EQCover costs
EQCover costs 15 cents (+ GST) for every $100 of home or contents fire insurance that you have. You pay this amount to your private insurance company, who pass it on to EQC.
The most you can pay, per year, for one home and its contents is $180 (+ GST). This would give you the maximum cover of $100,000 (+ GST) for your home, $20,000 (+ GST) for contents, and cover for your insured residential land. This amount of insurance is available for each event of natural disaster damage.
EQCover is government guaranteed. This provides assurance to consumers that if EQC has a very large number of claims – for example, after a major natural disaster – and cannot cover its obligations from the Natural Disaster Fund and its reinsurance, then the Government will pay the shortfall.
Please note: Some processes have been varied for people affected by the Canterbury earthquakes. If you’re one of those people, please also see the Canterbury section.