Claims affect burglary insurance

Press, 23 June 1978, Page 18

Claims affect burglary insurance

{ PA Wellington j The State Insurance Office will adjust housei holders’ burglary insurance cover because of a rising number of claims. Its annual report said “The increasing incidence of claims involving burglary, theft, and dishonesty caused a deteriorating loss ratio in the householders and burglary insurance portfolios.” Burglar insurance rates were increased last July, but are still inadequate to balance claims and further adjustments will be required, the report said. But an office spokesman said that this did not mean an increase in insurance rates.

“Rates have definitely not been increased and there are no plans to do so.” he said. What had been done was that the $2O excess now applied to “all risks” policies would also -.pply to “householder” policies, but the scope of cover would be extended. This was to reduce the incidence of small claims rather than having to increase premiums.