More from Standards and Poors on AMI
Audio, Radio New Zealand
Mounting claims from the Christchurch earthquake have forced AMI insurance to go to the Government for a possible bailout.
Mounting claims from the Christchurch earthquake have forced AMI insurance to go to the Government for a possible bailout.
The owner of Christchurch's AMI stadium is refusing to guarantee it will insure its playing field in future, despite taking a multimillion-dollar taxpayer handout to fix earthquake damage.
The Government has confirmed it is closely monitoring the insurer, AMI, whose $1 Billion in reinsurance and capital is believed to have been exhausted by the two Canterbury earthquakes.
Radio New Zealand Economics Correspondent reports from outside AMI Stadium.
The cost of insurance could rise by 20 per cent as a result of the Government bailout of AMI Insurance and the mounting cost of the Canterbury earthquakes.
The Christchurch-based insurer, AMI, says it won't be until June next year before it knows the final cost of earthquake claims, though the company's confident it won't need to draw on the government's backstop support package.
Architect Bob Burnett is part of a class action group yet to resolve claims with Southern Response. The group argues the insurer, which was established to settle outstanding AMI claims, has systematically short-changed them. Mr Burnett said the insurer had done more damage to his home than had been done in the earthquakes. The 40 members of the class action group head to court next Wednesday.
A Christchurch couple in a long running dispute over the insurance payout for their earthquake damaged home have reached an out-of-court settlement with Southern Response. The class action was brought on behalf of former AMI Insurance/Southern Response policyholders who believe the company misled them into settling their claims for less than their policies entitled them to. The lawyer for Brendan and Colleen Ross, Grant Cameron, talks to Max Towle about the settlement.
A lawyer who is suing Southern Response on behalf of earthquake claimants says he was intimidated by private investigators for another government agency in 2013. Southern Response is in charge of settling the outstanding quake claims of former AMI customers in Christchurch, but is now under investigation by the public sector watchdog, the State Services Commission. The Commission is looking at whether standards of integrity and conduct for state servants have been breached in its hiring of security company, Thompson and Clark. Southern Response says it hired the firm in 2014 to assess the level of risk some customers posed to staff. Lawyer Grant Shand tells Guyon Espiner he's waiting to see the results of the inquiry.
Questions to Ministers 1. Hon ANNETTE KING to the Minister of Finance: When he said recently "where the Government does have some influence, we are working hard to keep prices low", which prices was he referring to? 2. DAVID BENNETT to the Minister of Finance: What are some of the likely impacts on the Government's finances of the Christchurch earthquake? 3. Hon DAVID PARKER to the Acting Minister for Economic Development: Does he stand by all his statements on economic development? 4. Dr JACKIE BLUE to the Minister for ACC: How many claims has ACC received since the tragic earthquake on 22 February and what steps has the Government taken to facilitate prompt compensation for those seriously injured? 5. Hon MARYAN STREET to the Minister of Civil Defence: What is the basis for according priority to entry of the red zone in the Christchurch central business district? 6. NIKKI KAYE to the Minister for Social Development and Employment: What support is the Government giving to non-government organisations in Christchurch affected by the earthquake? 7. Hon TREVOR MALLARD to the Prime Minister: What role did he or his department play in the decision to shift the Rugby World Cup quarter finals, from AMI Stadium to Eden Park? 8. JACQUI DEAN to the Minister of Corrections: What progress has been made toward the Government's commitment to encourage private sector investment in the New Zealand corrections system? 9. Hon DARREN HUGHES to the Minister for Tertiary Education: What specific policy changes has the Government made to increase the number of apprenticeships and other building-skills training programmes since the September Canterbury earthquake? 10. SUE KEDGLEY to the Minister of Commerce: Will he use his powers under Part 4 of the Commerce Act 1986 to call for an investigation into the dairy wholesale and retail milk market, following the release of the Ministry of Agriculture and Forestry's review of the domestic milk market in New Zealand; if not, why not? 11. CAROL BEAUMONT to the Minister of Women's Affairs: Does she support the retention of the stand-alone and independent Ministry of Women's Affairs? 12. JOHN HAYES to the Minister of Agriculture: What steps has the Government recently made to progress agricultural greenhouse gas research?