Private insurers are on track to settle the vast majority of Canterbury earthquake claims by the end of this year, according to the Insurance Council of New Zealand (ICNZ).

The 5295 major repairs and rebuilds completed last year represent a 21% increase in the settlement rate compared with 2014.

CEO Tim Grafton says insurers are committed to settling remaining claims as quickly as possible.

“The rate of progress [last year] was impressive for one of the biggest events this country has known in terms of damage,” Mr Grafton said.

Insurers have fully settled $NZ16.7 billion ($15.27 billion), or 75%, of “over-cap” residential claims and 89% of all residential property claims. More than 90% of commercial claims have been settled.

At the end of December there were 25,350 over-cap residential claims, with 1425 transferred from the Earthquake Commission in the past year.

Based on data jointly collected by ICNZ and the Ministry of Business, Innovation and Employment, 82% (20,726) of over-cap residential claims are resolved or have been fully settled.  

Resolved means the repair or rebuild is under construction, under consent or a building contract has been signed.

A further 13% (3414) of over-cap claims are in resolution, meaning the rebuild or repair is in the pricing and design process or cash settlement is pending.