Changes to premiums.

Our underwriter, IAG New Zealand Limited (IAG), use underwriting and pricing disciplines to calculate a fair price for insurance cover. Because of this, premiums could change every year to reflect a number of things, such as:

  • Claim costs;
  • Reinsurance costs; or
  • Government levies and taxes.


Your premiums are calculated based on the information you give us, but can be affected by:

  • Claims (the number and severity of claims made over a year);
  • Your own claim history;
  • Excesses and discounts;
  • Changes to your sum insured; or
  • Changes in circumstance such as renting out your house or moving your contents to a new address.


Everyone needs insurance – even insurance companies. Reinsurance helps cover the cost of claims if there’s a major disaster, such an earthquake. The cost of this reinsurance is heavily influenced by natural disasters and unfortunately, the number of natural disasters over the past few years has caused reinsurance costs to rise.

New Zealand can be a risky place to live, with floods, storms, and earthquakes. Naturally, some regions are riskier than others. In the past, the likelihood of a natural disaster occurring in your region wasn’t fully reflected in the price you paid for your insurance. But from now on, if you live in an area at high risk of a natural disaster, you could pay more for your home insurance than a like-for-like home in a lower risk area.

Tax and Levies.

Any increases to your Westpac insurance premium, including any levies charged, mean you’ll also be paying more GST.

Levies also form part of your insurance premiums and are paid to the Government. They help cover the cost of services that benefit everyone, such as the Earthquake Commission (EQC) and Fire and Emergency New Zealand (FENZ).

  1. EQC Levy
    EQC is a Crown entity that provides natural disaster cover for residential homes and land where you hold a current private insurance policy (such as your Westpac home insurance). EQC levies are collected by IAG as part of your home insurance premiums, and passed on to the EQC. The amount is set by the EQC.
  2. FENZ Levy
    Responding to rural and urban fires across New Zealand, FENZ is mainly funded by levies on property insurance. IAG collect this levy as a part of your home and contents insurance premium and pass this on to FENZ. The amount is set by FENZ.

We're here to help.

It’s important that you have the right level of cover to suit you, especially if you need to make a claim. Over time, the things you own and your circumstances can change, so it’s a good idea to review your cover from time to time. If you’d like to discuss your cover, give us a call on 0800 809 378. We’ll help to find the best solution for you.

Things you should know.

Westpac Home and Contents insurance cover is arranged by Westpac New Zealand Limited (“Westpac”) and underwritten by IAG New Zealand Limited (“IAG”). None of Westpac Banking Corporation ABN 33 007 457 141, Westpac, or any member of the Westpac group of companies guarantee the obligations of, or any products issued by, IAG. Westpac will receive commission payments as a result of the arrangement of IAG policies. For IAG’s financial strength rating click here.

Any claim payment is subject to your claim being accepted.