Labour urges EQC rethink

Labour is calling for the Government to rethink how the Earthquake Commission operates, in the aftermath of magnitude 7.1 earthquake in Canterbury on 4 September.

The commission covers up to $100,000 worth of damage sustained to homes in a natural disaster.

The amount was set in 1993 and is based on rebuilding a modest house - but has not been changed since to keep pace with the property market or the cost of living.

Labour MP Clayton Cosgrove says all aspects of the Earthquake Commission should be examined in the aftermath of the Canterbury quake to see how the system responded to a large scale disaster.

The Government says there are no plans to reconsider the amount the commission insures houses for.

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