Most New Zealanders support compulsory third-party car insurance for all drivers, according to a national survey.

About 95% of respondents in the Canstar Blue car insurance customer satisfaction study back mandatory cover, with support in Wellington at 97%.

“New Zealand is one of only a few countries in the world where it is possible to drive without having insurance,” Canstar NZ GM Derek Bonnar told insuranceNEWS.com.au.

The online survey of 1801 people shows 6% have been in a car accident with an uninsured driver in the past year, while 4% have let their cover lapse in the past year.

Ministry of Transport data from 2009 showed 35% of drivers without insurance cited financial reasons. About 15% had not got round to securing cover, 12% did not consider their vehicle worth insuring, 10% were not using their car, 10% could not be bothered and 5% claimed to be safe drivers.

“On a personal note, being involved in an accident with an uninsured driver is an absolute hassle and cost me my no-claims bonus and increased my premium,” Mr Bonnar said.

“I am strongly in favour of compulsory insurance for all drivers.”

Insurance Council of New Zealand (ICNZ) CEO Tim Grafton says third-party cover for bodily injuries is provided through the state-run Accident Compensation Corporation.

Compulsory insurance for other damage would need to be paid for through taxation or premiums, which raises questions about increased costs.

“If we did go down that track, how do you pay for the uninsured and uninsurable that will still get out and drive and cause accidents?”

About 94% of people insure their cars, according to ICNZ data. If possible, insurers try to recover accident costs from a non-insured person, so there is no effect on the covered driver, Mr Grafton says.