An Insurance Council of New Zealand survey has revealed that 20% of residents switched insurers in the past two years. 

The industry body says this number rises to 34% when accounting for the last five years, while 32% reported never switching providers.  

Among those most likely to switch are younger policyholders, those with a household income of between $50,000 and $100,000, and those living in Wellington.   

The results also show that 21% of respondents say they routinely shop around when their cover comes up for renewal, compared to 25% who never do.  

ICNZ CEO Kris Faafoi has encouraged policyholders to check out their insurance options as the industry continues to deal with rising costs.  

“Insurance premiums have been affected by a number of factors, some of which are out of our control such as the rising cost of extreme weather events and taxes and levies,” Mr Faafoi said. 

“Some of those pressures are easing and we are seeing that flow through into premium levels.  

“Insurers are looking at ways to help their customers manage their cover to protect themselves as cost effectively as possible and keep insurance affordable and assessable. That includes considering their excess levels or other policy settings.”  

Mr Faafoi also remarked on the importance of customers engaging with their policy documents after the survey found 41% of respondents regularly read their policy wording when updating their insurance. 

“We are encouraged by the number of people reading their policy wording and we’d like to see that rise further,” he said.  

“It’s important to know that you are adequately covered and also to know what is not included in your coverage. 

“Keeping in touch with your insurance provider and checking your options regularly can help ensure you have the right level of insurance and peace of mind.”