High Court insurance earthquake case about floor levels


On 7 October 2013 the High Court at Christchurch commenced hearing an insurance law case against Southern Response Earthquake Services Ltd (formerly Ami insurance ltd) about a red zone property in Brooklands. After accepting for 2 years that the house was a rebuild as a result of the 4 September 2010 earthquake Southern response decided it could theoretically repair the house once the owners decided not to accept the Southern response rebuild costing. The house is in the flood management area with a required floor level of 11.8m. It was built to a floor level of 11.4m in 2006/2007 in accordance with a building consent condition and consent notice under the Resource Management Act requiring the floor level to be 11.4m. The floor level is now about 11.2m with a differential of 59mm. Southern Response proposes to relevel the cracked concrete slab and cracked perimeter foundation to only 11.2m. This is contrary to the consent notice, building consent condition and the FMA.