15080 (2025). Hon Dr Duncan Webb to the Associate Minister of Finance

15080 (2025). Hon Dr Duncan Webb to the Associate Minister of Finance: What are the "estimated losses arising from the 2022 update to the National Seismic Hazard Model (NHSM)" which prompted the consultation on the Natural Hazards Commission Levy?

Hon David Seymour: I am advised in the modelling undertaken to support consultation on the Natural Hazards Commission Levy, the estimated average annual loss for earthquakes was $558 million (including claims handling expenses (CHE)) for the 2025/26 financial year. This has increased from $187 million (including CHE) estimated when the levy was last reviewed in 2021. The drivers of this are the 2022 update to the National Seismic Hazard Model (the first update for a decade), high levels of building inflation, and growth in the number of buildings covered by the scheme.