Weather-related insurance claims close to $1m

The South Canterbury floods will contribute to what could be the most expensive year for weatherrelated insurance claims so far this century, it has emerged.

The possibility was confirmed as a pair of district councils tallied a repair bill that by yesterday afternoon was climbing toward $1 million.

The Waimate District Council estimated its repairs could cost $400,000. The Timaru District Council on Monday estimated its repairs were near $500,000.

The weather that triggered floods across South Canterbury, wider Canterbury and Otago from last Friday has prompted a steady stream of insurance claims.

By yesterday, it seemed 2017 could be the most expensive year of the new millenium for weatherrelated insurance claims.

Insurance Council chief executive Tim Grafton said it was too early to say how much the flooding late last week would cost but he expected it would generate about 2000 claims.

It would be less expensive than either Cyclone Debbie or Cyclone Cook, in April, or the storm branded the ‘‘Tasman Tempest’’ that inundated Northland, Auckland and the Waikato in March.

However, it would add significantly to the 2017 tally.

‘‘In the first four months of this year the weather-related losses have already roughly matched the other two big years of 2004 and 2013,’’ Grafton said

The number of claims insurance group IAG has received to date is 540, which includes 505 domestic claims and 35 commercial ones.

An IAG spokeswoman said on Monday the group received a steady flow of new referrals.

This started to slow yesterday, and it was too early to break claims down by region.

IAG owns 47 per cent of the general insurance market in New Zealand, and represents State and AMI insurance, as well as NZI.

‘‘We are unable to break this down geographically at this stage and are looking to break down the type of claims,’’ the IAG spokeswoman said.

The storm struck last Friday, with torrential rain and high winds causing widespread flooding and leading to a state of emergency being declared in Canterbury and Otago.

It is not yet know how much the repair bill will be for Environment Canterbury.