Published: 2 March 2026
Top insurance trends to watch in 2026
As we head into 2026, the insurance market in New Zealand continues to be generally favourable for well‑managed risks - but the forces shaping pricing and protection are shifting fast. The January 2026 North Island storms were a timely reminder that large events can disrupt access, repairs and claims timeframes.
Market capacity remains strong across many commercial lines, supporting generally competitive conditions for wellmanaged risks. Submissions now need clear risk narratives, current valuations and evidence of controls to secure the best terms.
Global capacity has stabilised rates in many sectors while underwriting scrutiny has increased, particularly for ransomware‑exposed and privacy‑sensitive activities. In New Zealand, industry trends indicate around half of businesses experienced a cyber incident in 2025, with human error a key driver. Practical controls – multi-factor authentication, secure email, staff training and tested response plans - remain essential.
Severe weather events continue to highlight where businesses may be exposed, with record rainfall, slips and widespread disruption in the January 2026 storms underscoring the trend. For businesses this may include strengthening site drainage and elevating critical equipment, revisiting supplier and logistics contingencies, and checking that sums insured reflect higher rebuild and mitigation costs.
The rate of construction cost inflation has cooled, but the overall cost to rebuild remains high. With building costs not returning to pre‑2021 levels, regular professional valuations remain essential, especially for business interruption cover where adequacy hinges on realistic rebuild timelines.
A new framework changes how Fire and Emergency New Zealand levies are calculated — including a flat $25 levy for motor vehicles and updated rules for non‑residential property that may change levy outcomes where different value bases were previously used. It’s worth reviewing potential impacts ahead of renewal.
Amendments introduced in 2025 increased maximum fines and made Resource Management Act fines uninsurable. Statutory Liability typically covers defence costs, but businesses now face greater direct exposure if enforcement action occurs. Robust controls, records and clear incident‑response planning are increasingly important.
How your Rothbury Broker can help
Your Rothbury broker can help you understand FENZ levy changes, discuss with you your valuation and Business Interruption needs, provide advice on how to strengthen your cyber posture, and help you understand climate related risks – including discussing options for resilience measures and continuity planning following major weather events.
This guide provides general information only and does not constitute financial or legal advice. Please consult your broker or professional advisor for guidance specific to your business.