EQC does not cover car damage

“The EQC doesn’t cover damage to
your vehicle,” says AA Insurance

AA Insurance is advising customers whose vehicles were damaged in Saturday’s earthquake to contact their insurance company now as the Earthquake Commission does not cover damage to vehicles.

“There is some confusion about what is and isn’t covered by the Earthquake Commission and, while the EQC covers damage to buildings and their contents, it does not cover damage to vehicles” says Martin Fox, Deputy General Manager, AA Insurance. “People need to contact their insurer directly to make a claim.

“We have only had a very slight increase in motor claims since the earthquake, and a large number of our customers in the area haven’t contacted us yet although we suspect many vehicles have been damaged,” says Mr Fox.

“While damage may seem slight, it may still represent a safety issue. Just because a vehicle starts, it doesn’t mean that it’s safe to drive. If a customer suspects their vehicle may have suffered flood damage, or it has been hit by sludge they should call AA Insurance, or their insurer, before attempting to drive it. AA Insurance will discuss the damage with the customer and, if necessary, send a qualified assessor to check the vehicle’s condition.”

Most of the claims AA Insurance has received have been very minor – damage from falling bricks, or dents and scratches sustained while the vehicle was parked in a garage. While this damage may look minor, it may have affected the safety of the car so it is important to contact your insurer first. People shouldn’t risk driving a car that isn’t in a safe condition when it is relatively straightforward to get their vehicle repaired.

Customers who have contacted AA Insurance appear concerned getting their vehicle repaired is trivial compared to what others are going through – for example those who may have lost their family home. Customers seem reluctant to hold up the phone lines in case someone more in need can’t get through. “We have a dedicated team of motor specialists dealing solely with motor claims to prevent any impact on customers whose home and contents have been damaged,” says Mr Fox. “We want our customers to get their lives back to normal as quickly as possible.

“Vehicles are currently being fixed very quickly, we can guarantee the quality of the repairs and we have a large fleet of rental vehicles in Christchurch to help our customers keep moving while their vehicle is off the road.”

About AA Insurance
AA Insurance was launched in 1994 and is a joint venture between New Zealand Automobile Association and Suncorp-Metway Limited.
AA Insurance has over 300 staff servicing 150,000 plus customers and manages over 300,000 policies. Over half of those policies cover motor insurance risks including cars, bikes, caravans and motor homes, and the remainder are house and contents insurance.
In 2008 and 2009, AA Insurance was a finalist in the unlimited/JRA Best Places to Work Survey in the medium-large workplace category, making it one of the top places to work in New Zealand.
AA Insurance Limited has an A+ (Strong) Insurer Financial Strength Rating given by Standard and Poor’s (Australia) Pty Ltd on 8 January 2010. For further information visit, www.aainsurance.co.nz.
AA Insurance is proud to support youth charity Blue Light as their principle corporate sponsor.

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