IAG New Zealand has put forward an action plan to better prepare for future flooding as communities assess damage to homes after severe weather crossed the country last week.

“The most important thing we can do is ensure people are not placed in harm’s way and do not suffer the loss and disruption caused by a flood event,” IAG New Zealand CEO Amanda Whiting said. “Avoiding the impact on lives and people’s wellbeing must be the priority.”

The insurer’s three-step plan involves a joint government and private sector approach to better understanding which locations are most at risk, taking into account existing and proposed protections, community resilience and the availability and affordability of insurance and lending.

It also proposes avoiding new development, or intensification of existing development, within locations exposed to flooding that may occur more frequently than one-in-50 years, and establishing a national flood protection investment program.

“These are practical steps that will lead to a sensible and targeted reduction of flood risk for the communities that most need it,” Ms Whiting says. “IAG is prepared to play its part in each of these steps.”

Insurance Council of New Zealand (ICNZ) spokesman Christian Judge says it’s too early to say how many claims will be lodged from the recent events and what their value will be, but the fallout will be sizable.

“It is yet another climate-related extreme weather event that will affect many customers,” Mr Judge told insuranceNEWS.com.au.

"Government needs to act now alongside insurers and others to help communities plot their own clear paths to a more lower risk future if they are to keep insurance available and relatively affordable into the medium to long term.”

The latest heavy rainfall arrived after New Zealand experienced its wettest July on record, while the country was also hit by torrential rain, thunderstorms and flash flooding in late March.

Prime Minister Jacinda Ardern, who visited flood hit areas of the South Island today, said events were occurring in quick succession.

“How many times have we all heard the words 1-in-100 year event,” she said. “They are becoming more frequent and that is cause for us to plan, it is cause for us to prepare.”

Ms Ardern said she saw a “real willingness” across insurers, local government and the central government to work together to protect communities as much as possible.