Insurance Against Quakes

Grey River Argus, 19 August 1949, Page 3

Insurance Against Quakes

GOVERNMENT TO EXTEND COVER WELLINGTON. Aug 18. Rt. Hon. W. Nash in his Budget address, to-night, stated: “In accordance with the Government’s promise last year, it is proposed to extend the cover under Section 14 of the Earhquake and War Damage Act. 1944, to insured property damaged as the direct result of storm or flood which is of an abnormal and unforseen nature.

No increase in the present premium charge is intended for this add'tional cover, but 10 per cent, of the premium income will be credited to a special Disaster Fund to be used to meet approved claims. It is also intended to give authority to grant insurance on a voluntary basis under section 15 of the Act for damage occurring as the direct result of storm and flood to property of any kind, including property which is not normally insured against loss or damage by fire. Apart from these provisions, if farmers promote mutual insurance schemes to protect, their crops and stock not normally covered by >nsuance, the Government will consider favourably paying a proportion of the cost of approved claims.