Phil Thompson has been working in the insurance industry in New Zealand for over 35 years so knows a thing or two about helping Kiwis protect their assets and mitigate their business risks.
As ICIB’s Regional Manager for Hawkes Bay he also understands the local insurance market, so we asked him to share his insights about what people need to know in the current environment.
What are some of the core issues affecting insurance at the moment?
“It’s important that businesses understand how key legislative changes can affect their insurance policies. A particular one now is the implications of the updated Resource Management Act (RMA).
The Resource Management (Consenting and Other System Changes) Amendment Act 2025 came into force in August this year. It includes some quite significant changes, including –
• Fines under the RMA now being uninsurable.
• Higher maximum penalties for environmental offences.
• Changes to prosecutions.
For organisations, this equates to greater financial exposure and increased compliance expectations. For those who have typically had a relevant liability policy to help cover any RMA breaches, the policies will no longer cover fines or infringement costs – although they will still respond to legal costs.
Moving into 2026, there will be further amendments to the Fire & Emergency (FENZ) levy system, which will take effect on 1 July. This will change the way that levies on your insurance are calculated.
For brokers to do their job effectively we have to constantly be across these changes, understand them, and then communicate what it means to our clients to ensure they have the right insurance programme in place.”
Will insurance prices continue to rise?
“We appreciate that it hasn’t been easy for home or business owners with the rising insurance costs. I have to pay for my own insurances too so am very sympathetic to that.
We are currently in a soft insurance market, which means that prices are stabilising and not increasing at the rate they were.
What we are seeing however is that insurers are moving to more localised risk-based pricing. For a region such as ours, that will naturally take into consideration higher earthquake and flood risk and that will be reflective in future insurance premiums.”
Are there any areas where you are seeing an increase in claims?
“We have seen a slight increase in theft claims in Hawkes Bay recently, compared to the norm. This is possibly related to the challenging economic environment where thefts and property crime tend to increase as a result.
Suffice to say, people should be a bit more vigilant around the security of their homes or business premises. This includes work sites and work vehicles, where tools or equipment can easily be stolen from.
Security becomes even more paramount over Christmas where property may not be occupied for an extended period, so ensure your premises are well secured before heading away.”
What makes Hawkes Bay different to other regions?
“I have lived in many places across New Zealand including Auckland, Nelson, and Queenstown. A lifestyle property in Hawkes Bay has been my home now for four years.
Hawkes Bay, like other regions of New Zealand, has its own array of unique risks which aren’t always reflective of the bigger cities. Earthquake and flooding are just some examples.
That’s why I believe it’s important to deal with an insurance broker in your local area, as they understand those nuances. Our team not only all live here, but live and breathe insurance, so you are in good hands if you come and talk to us.”
