AMI, State And NZI 2025 Climate Poll: New Zealand At Climate Change Crossroads

New Zealanders want more action to keep insurance affordable in the face of climate change.

New Zealanders are expecting more extreme weather events as a result of climate change. They want more to be done to reduce the risks and costs of these events to help keep insurance affordable and available.

According to the latest climate change poll from AMI, State, and NZI, 90% of New Zealanders anticipate more extreme storms, 89% foresee more frequent and intense flooding, and 88% expect coastal flooding due to rising sea levels.

Amanda Whiting, CEO of AMI, State and NZI says: “Recent and regular weather events are still fresh in people’s minds and continue to have a profound effect on the country, highlighting for many the very real impact that our changing climate is having on our communities.”

As New Zealanders brace for a future shaped by more frequent and severe climate events, many expect the cost of these events to be reflected in insurance premiums. However, they only want to pay for the risks they themselves face:

· 60% agree that insurers should raise premiums for those that face more risk.

· 45% say that people only paying for the risk they face is the fairest way to set premiums, with 10% saying that everyone paying the same regardless of the risk they face is fairest.

· 71% say they accept that they will have to pay more for their insurance if they live in a high-risk location, but only 17% say they are willing to subsidise the insurance of people who live in high-risk locations.

· 60% of people agree that insurers should focus on incentivising risk reduction by making it more difficult or more costly to insure in high-risk areas.

“New Zealanders understand that increased risk leads to higher insurance costs and that greater use of risk-based pricing is the fairest way to reflect those costs in people’s premiums.

However, New Zealanders’ desire for greater risk-based pricing and the incentives it creates to reduce risk is matched by a desire to keep people insured, reflecting the importance people place on insurance.

· 74% of people agree that insurers should focus on keeping as many homes insured as possible amidst growing climate hazards.

· 87% of people agree that house and contents insurance is important to have.

“Continuing to meet people’s expectations of fair pricing while keeping our most exposed communities insured will become ever more difficult to achieve without urgent and significant risk reduction.

“We are fast approaching a crossroads and need to make an important decision about which path we take,” says Amanda.

“We can commit to reducing risk and investing in resilience and adaptation to help keep insurance available and affordable for as many people as possible. Or we can keep doing what we are doing and risk rising costs, reduced coverage, and the possibility that some homes may become too risky or expensive to insure.”

New Zealanders want to see more action to reduce the risk of climate change hazards.

· 80% say we should do more to modify our environment to fit in with the impacts of climate hazards.

· 77% say we should do more to avoid or reduce development in high-risk locations.

· 77% say we should do more to make buildings and infrastructure more resilient to the impacts of climate hazards.

“The need for action is clear. New Zealanders want to see smarter decisions about where and how we build and more investment in infrastructure and natural solutions to protect our homes, businesses and communities.

“Ultimately, if we want to keep people protected, we need to address the underlying risks. That means acting decisively, together, and with urgency. Reducing risk is the fairest and most durable way to ensure we can continue to insure as many New Zealanders as possible.”

*The survey of 1,001 people was commissioned by IAG New Zealand and conducted by Ipsos Ltd in May 2025. The survey has a margin of error of ± (plus or minus) 3.1 per cent.

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