9 Apr 2011

Re-insurance cover will be offered says EQC

6:08 am on 9 April 2011

The Earthquake Commission says it has been told re-insurance companies will definitely provide renewed cover for New Zealand.

Munich Re, one of the world's biggest re-insurers, has already said its profit target of $US4.2 billion will be more than wiped out this year, because of big payouts for the Canterbury earthquakes, flooding and cyclones in Australia and the earthquake and tsunami in Japan.

But EQC chief executive Ian Simpson says cover will continue despite the losses.

However, the cost of the cover will rise.

Mr Simpson says he is part way through the negotiations so won't say by how much.