29 Mar 2022

Home underinsurance risks grow as building costs climb

From Morning Report, 8:28 am on 29 March 2022

The rising cost of building materials may leave home owners in the lurch as the risk of under-insurance throughout New Zealand grows.

Most residential home insurers use a fixed sum policy, meaning anything over and above that amount won't be paid out if a home needs repairs - or a total rebuild.

With construction costs continuing to rise, the amount homes are covered for may not be enough.

Emma Hatton reports.