The Natural Hazards Commission Toka Tū Ake (NHC) manages New Zealand’s nation-wide natural hazard insurance scheme for residential homeowners.

The scheme provides the first layer of residential insurance cover to homeowners for damage from specific, catastrophic natural hazards to their home and some aspects of their land. The scheme covers up to $300,000 for catastrophic risks. Homeowners purchase a general private insurance policy for cover above that threshold and to cover other secondary risks (such as wind).

The scheme is universal – every homeowner who takes out a private home insurance policy is automatically covered – and community-rated, meaning everyone pays the same levy, collected through homeowner private insurance premiums.

NHC uses these levies to grow a national fund for claims, to fund investments, and to fund the purchase of reinsurance. The scheme is backed by a funding guarantee from the Government if a disaster exceeds available funding.

The scheme also plays an important role in reducing risk and building community resilience. NHC invests in research, education, and works closely with policy decision-makers and local councils on land-use planning to avoid high-risk areas. It partners with scientists, engineers, planners and other sectors to improve understanding of natural hazards, strengthen building standards, and promote preparedness. These efforts help reduce the impact of disasters, speed recovery, and ensure New Zealand’s homes and communities are better equipped to withstand future events.