Tweet
Insurers pull back from Bird Flu cover for businesses
NEW ZEALAND ? Spooked by potentially massive costs from a bird flu pandemic, New Zealand insurers have stopped providing blanket cover for losses to businesses from infectious diseases.
Insurance Council chief executive Chris Ryan told NZPA insurers had decided they could no longer provide blanket cover for costs they could not predict.
International insurers and reinsurers had removed bird flu and infectious disease blanket cover, driving New Zealand insurers to do the same.
"The reason they've removed cover is they simply don't know the extent of the risk that they are insuring. It could be relatively minor, or it could be a very extensive epidemic that covers most of the major economies of the world."
Many policies would have been changed at the start of the year while others would be changed at their annual renewal.
Businesses which still required cover could negotiate a specific policy with insurers.
Losses from terrorism and war had previously been excluded from blanket loss cover.
NEW ZEALAND ? Spooked by potentially massive costs from a bird flu pandemic, New Zealand insurers have stopped providing blanket cover for losses to businesses from infectious diseases.
Insurance Council chief executive Chris Ryan told NZPA insurers had decided they could no longer provide blanket cover for costs they could not predict.
International insurers and reinsurers had removed bird flu and infectious disease blanket cover, driving New Zealand insurers to do the same.
"The reason they've removed cover is they simply don't know the extent of the risk that they are insuring. It could be relatively minor, or it could be a very extensive epidemic that covers most of the major economies of the world."
Many policies would have been changed at the start of the year while others would be changed at their annual renewal.
Businesses which still required cover could negotiate a specific policy with insurers.
Losses from terrorism and war had previously been excluded from blanket loss cover.
Comment