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Pol. situation in New Zealand

Political parties at odds over quake gridlock‎

Pol. situation in New Zealand, satisfied 57%

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"Dysfunctional" parts of the insurance market need more time to re-enter the fray before the Government intervenes, Prime Minister John Key says.

Labour announced yesterday an alternative plan for Canterbury's earthquake recovery. It included $100 million to top up payouts for quake-damaged homes that were improved after the Government's valuation date of 2007.

It also suggested measures designed to "resolve the insurance gridlock".

Labour would set up an insurance commissioner to deal with disputes. It would also commit $2m to fund test cases through the courts for residents who seemed unfairly treated by their insurer.

Labour leader Phil Goff said that as a last resort, the party was also "prepared to intervene in the insurance market, as a short-term measure, to give the confidence required to get the market functioning properly again".

"I think we can talk the insurance industry into coming to the party," Mr Goff said. "But if we have to do it, the risk is less than the risk of allowing the recvery to stall and stop."







Read full article: www.stuff.co.nz


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