Storm in October in Canterbury, Otago, Southland triggers 5000 FMG insurance claims

A property that was badly damaged in last October's storm. Photo / RNZ, Katie Todd

By Katie Todd of RNZ

The storm that lashed Canterbury, Otago and Southland with severe winds in October has resulted in the second-most claims for an event in rural insurer FMG’s 120-year history.

New Zealand’s largest rural insurer has already paid out $20 million, but expects that figure to rise to about $50m.

The storm toppled trees, tore roofs from buildings, and downed power lines, leaving thousands without power

FMG told RNZ that nearly 5000 claims had been lodged, with about half of those now closed.

The only event resulting in more claims for the insurer was the Auckland Anniversary floods and Cyclone Gabrielle in 2023.

“Three months on, we continue to see claims lodged, and we encourage anyone who still needs to make a claim or is feeling overwhelmed about their claim to get in touch with FMG,” the company said.

“We can see that the wait for repairs in some cases will mean it takes people a while to get back on their feet.”

Insurance claims did not reflect the full extent of the damage and disruption experienced by communities, FMG said.

A number of farmers have told RNZ they discovered in the wake of the storm their insurance did not cover damaged fencing or fallen trees.

FMG said it was too early to know how this month’s heavy rain across the north would compare.

IAG – which operates the AMI, NZI and State insurance brands – said it had received 5000 claims relating to October’s storm.

Some of the trees that were toppled in Invercargill. Photo / RNZ, Calvin Samuel

The majority – about 3600 – were from customers in Southland and Otago, it said.

AMI, State and NZI executive general manager Steph Ferris said that included smashed windows and doors, blown-away roofs and sheds and spoiled food as a result of power outages.

Tower Insurance said it had received 996 claims, with 330 lodged by customers in Southland and 200 in Otago.

Some of the storm damage in Otago. Photo / RNZ, Katie Todd

Head of natural disaster response Lisa Maxwell said the majority of claims were for minor damage, and more than 650 claims had been settled.

This week, a logging contractor in Clutha District told RNZ there were more than 150,000 tonnes of trees still on the ground at private properties three months on from the storm.

Clutha District Council said the cost of repairing damaged community amenities had climbed to $991,000.

– RNZ