IAG boosts premiums to reflect risks

From July 1, IAG will be altering the way it charges so that customers living in areas more prone to natural disasters and severe weather events are likely to pay more for home and contents insurance.

Conversely, customers who live in areas that are less prone to problems may end up paying less.

The changes will be communicated to customers over the next 12 months when their policies come up for renewal.

They will affect all of the insurers’ brands (State, NZI and Lumley) as well as the insurance its sells through banks ASB, BNZ, The Co-Operative Bank and Westpac.