Climate change a factor in $226m insurance payout

WELLINGTON: Insurers have paid out $226 million this year to help customers recover from extreme weather events.

The chief executive of the Insurance Council, Tim Grafton said the increasing frequency of severe weather events was a problem for everyone.

‘‘To have two years in a row in the three most expensive years on record is an indicator of the increasing frequency and intensity of storms in New Zealand. This is in large part due to the impacts of climate change.’’

The country needed to adapt to the effects of climate change and rising sea levels, he said.

There was a near certainty the sea would rise a further 0.2 metres to 0.3 metres in the next 20 years, Mr Grafton said.

Preliminary research from Niwa had revealed there were 125,600 buildings — involving $38 billion of replacement costs — within 1m of sea level rise, he said.

‘‘It’s important we take that concern and turn it into action,’’ he said.

‘‘The sooner we adapt to our changing climate, the less adaptation will cost us and the less we will be impacted by the increasing frequency and severity of storms.’’

That could include improving stormwater infrastructure, moving properties away from coastal areas and flood plains, and more resilient buildings, he said.