Plan to shut all AMI insurance stores

Insurance company IAG is proposing to close down all of its AMI insurance stores.

IAG announced on Tuesday that it would review aspects of its direct distribution model, which would see 53 AMI insurance stores close across the country, along with one its one remaining State store in Christchurch.

Up to 65 retail management store roles would be dissolved under the proposal, while 350 roles were expected to move into digital teams and contact centres.

An IAG spokeswoman said IAG would work with any affected employees, with a commitment to retaining as many people as possible.

Customer and consumer executive general manager Kevin Hughes said the proposal was not offered lightly, as the stores had been in communities for years.

However, the review reflected growing customer expectations for digital services, a trend that had been accelerated by Covid-19, Hughes said.

‘‘Customers expect more digitally, and we are focussed on delivering that for them.’’

The company was exploring new services, such as virtual faceto-face meetings, and customers would still be able to contact call centres, he said.

‘‘For several years, we’ve seen a decline in visits to our retail stores as customers increasingly look to engage with us over the phone, via email and through our online platforms and digital channels.’’

The company was also planning to establish pop-up mobile stores, if required, in events such as a natural disaster.

Its specialist customer care team, which was temporarily established as part of Covid-19, would be made a permanent service.

Fifty-two employees work at the Oamaru, Queenstown, Dunedin,

Mosgiel, Gore and Invercargill stores that are set to close down.

Clutha-Southland MP Hamish Walker said it was disappointing for the communities of Gore and Queenstown.

It was a sign that the effects of Covid-19 would continue for some time, he said.

‘‘It again reminds us the focus needs to be on jobs and getting the economy up and running again.’’

IAG trades under the brands AMI, State, New Zealand Insurance (NZI), National Auto Club Underwriters Agency (NAC), Lumley and Lantern.

‘‘Customers expect more digitally, and we are focussed on delivering that.’’

IAG’s Kevin Hughes