AMI Insurance headquarters in Auckland. File photo / David White
The "widespread interest'' being shown in AMI Insurance by potential buyers is an encouraging sign the insurance industry regards Christchurch as an attractive market, Prime Minister John Key said this morning.
AMI Insurance, which has a $500 million financial guarantee from the Government to bridge a potential shortfall in
funds available to meet Christchurch quake claims is now officially seeking new capital from potential investors.
The company last week said if was able to find new capital it was unlikely to require the $337 million the Government believes it will have to pay out under the guarantee.
The AMI affair has played out against a backdrop of mounting concern that the reluctance of international reinsurers to offer backing to Christchurch exposed insurance companies is preventing them from offering new policies thereby delaying rebuilding efforts.
Mr Key this morning acknowledged that insurance was an issue that had yet to be resolved.
