Initial estimates for NZ’s 6.3-magnitude earthquake in Christchurch last week show insured losses could reach up to $NZ11.5 billion ($8.5 billion).

Catastrophe risk modeller AIR Worldwide predicts the total cost of the latest quake will be between $NZ5 billion ($3.7 billion) and $NZ11.5 billion ($8.53 billion).

French modeller Eqecat puts the insured losses at between $NZ2 billion ($1.4 billion) and $NZ5.3 billion ($3.9 billion).

“This estimate is consistent with the expectation of a relatively compact area of moderate to severe damage, and is not inconsistent with reports coming out of NZ at this time,” an Eqecat statement says.

Although last week’s earthquake is considered to be an aftershock of the September event and was smaller in magnitude, it has caused more damage due its proximity to the centre of Christchurch and its “shallow depth”.

The city’s infrastructure sustained considerable damage with roads, building and bridges impacted as a result of ground liquefaction.