Email: Password:
Forgot Password

News Archive

Back to List Back to list
Previous Article Next Article

Port imposes insurance levy

04 Oct 2017

Increasing charges at Napier Port have Hawke's Bay industries up in arms. A new insurance levy has reportedly tipped local port users - across the horticultural sector, exporters, and transport companies - over the edge.

The most recent new fee is a new insurance charge that will be borne by all port users from October 1, as earthquake damage to ports in Wellington and Christchurch means all New Zealand ports are considered high risk.

Port CEO Garth Cowie said this meant insurance premiums had more than doubled "with less than seven days' notice".

"The increase alone was more than $2 million. Our deductible has been doubled from $12.5m to $25m. We have been absorbing these costs since July 1 in a bid to give our customers as much notice as possible."

Mr Cowie said they understood the impact price changes might have on their customers, and had worked with them to "find some middle ground."

There has been a call for the insurance costs to be passed onto the port's main customers - the international shipping lines - as it would have less impact than for a local business.

Mr Cowie said they would be reassessing this levy after 18 months.

By this time the port would have renegotiated insurance contracts and could take any reduction into account. Global shipping forecasts showed it could be better to charge the levy via shipping lines at that time.

Previous Article Next Article


Professional IQ

Professional IQ College

Workshops, Online courses, webinars and Qualifications. For upcoming events         click here

Latest Papers:

Closing the Gap - Insuring your business against evolving cyber threats

iNavigator iNavigator Media Center
Provides access to a wide range of industry related media resources

Covernote Cover Note
IBANZ quarterly magazine for the latest on the intermediated insurance market.

Gary's Blog Gary's Blog
Comment on current issues.

© Copyright IBANZ, all rights reserved. Private information collected for this website is governed by our Privacy Policy. Read our Terms & Conditions
Powered by streamSWEET CMS