Council claims $NZ575 million from Christchurch earthquakes
Christchurch City Council has claimed $NZ575.6 million ($456.9 million) for earthquake damage and has so far received $NZ379.4 million ($301 million) from insurers.
Documents show the council and its insurers have agreed that the cost of reinstatement of several of the city’s 10 leading facilities exceeds the sum insured plus a 10% margin.
“Investigations are continuing on the remaining assets to establish repair costs and options in order to agree a position with insurers,” an update to the council’s corporate and financial committee says.
The council has prioritised claims for social housing and major community facilities and in many cases engineering work is needed to identify options.
Major claims for reinstatement include $NZ130 million ($103 million) for the city’s AMI Stadium, $NZ68 million ($53.9 million) for Christchurch Art Gallery, $NZ62 million ($49 million) for the city’s town hall and $NZ72 million ($57 million) for the QEII Stadium and Leisure Centre.
The council’s major losses come from infrastructure damage, which is not covered by the private insurance market.
It expects the cost of reinstating below-ground infrastructure to top $NZ870 million ($690.5 million.)
The Local Authority Protection Program Disaster Fund, a charitable trust administered by councils’ mutual insurer Civic Assurance, has paid over $NZ182 million ($144 million) on the loss to date, with $NZ18.7 million ($14.8 million) outstanding.
Reinstatement of above-ground infrastructure is expected to cost $NZ150 million ($119 million), of which the council has claimed $NZ6.7 million ($5.3 million).