Earthquake Commission EQC

What Earthquake Commission EQC does

Natural Hazards Commission Toka Tū Ake (NHC), formerly the Earthquake Commission (EQC), is a New Zealand Crown entity established in 1945 and reconstituted under the Natural Hazards Insurance Act 2023, which took effect on 1 July 2024. The Commission provides statutory residential natural hazard insurance covering earthquakes, landslides, volcanic and hydrothermal activity, tsunami, storms, and floods, with building cover up to NZ$300,000 plus GST and contributions toward qualifying land damage. Coverage is automatic for any homeowner holding a private insurance policy that includes fire cover, giving the entity effectively universal reach across New Zealand's residential property base.

NHC's core product is Natural Hazards Cover (NHCover), delivered principally through the Natural Disaster Response Model (NDRM), under which most New Zealand private insurers assess, manage, and settle claims on the Commission's behalf, with Direct NHCover available where an insurer does not partner with NHC. Supporting digital products include the public-facing Natural Hazards Portal, which integrates hazard information, claims data, and geospatial content, and the Natural Hazards Alexa Skill co-developed with GeoNet and the Ministry of Civil Defence and Emergency Management. Internal data infrastructure is built on Microsoft Fabric, Azure Synapse Analytics, and Data Factory using Data Vault approaches, with loss modelling capabilities used after major events. NHC also funds GeoNet's 600+ sensor seismic monitoring network and placed a NZ$225 million multi-year catastrophe bond in 2023, an industry first in New Zealand.

The Commission is funded through the Natural Hazards Insurance Levy collected via private homeowner insurance premiums, with the rate set by Government. A NZ$10.3 billion reinsurance programme (June 2025) was expanded to a record NZ$12.3 billion (announced June 2026), and the New Zealand Government provides a Crown guarantee that loans funds if the Natural Hazard Fund and reinsurance cannot meet obligations after a major disaster. NHC is overseen by the Minister of Finance (currently Hon Nicola Willis), operates with 501-1,000 employees across Wellington and Christchurch, has implemented all 45 in-scope recommendations from the March 2020 Public Inquiry, and is not a commercial enterprise (revenue is not publicly disclosed).

Name

Earthquake Commission EQC

Legal name

Natural Hazards Commission Toka Tū Ake

Website

https://naturalhazards.govt.nz

Company type

Public

Founded year

1945

Operating status

Operating

Headcount range

501–1,000 employees

Short description

Natural Hazards Commission Toka Tū Ake is a New Zealand Crown entity providing statutory residential insurance covering earthquakes, floods, storms, and related natural hazards. It partners with private insurers through the Natural Disaster Response Model and funds scientific research via GeoNet.

Ownership category

akta.pro rank

Product category

Natural Hazards Insurance

NAICS

Direct Property and Casualty Insurance Carriers (524126), Insurance Carriers and Related Activities (524)

SIC

Fire, Marine & Casualty Insurance (6331)

akta.pro primary industry

Environmental / Pollution Liability (FSAJAGAF)

akta.pro secondary industries

Flood Insurance (FSAJACAG), Natural Hazard & Climate Physical Risk Screening for Sites (Flood, Wildfire, Sea Level) (EUAHAEAM)

Keywords

• Natural hazard insurance
• Disaster insurance
• Residential property insurance
• Catastrophe reinsurance
• Disaster resilience research

Headquarters

HQ city

Wellington

HQ country

New Zealand

HQ region

Oceania

Offices2 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Operations, Personnel, Technology or R&D, Marketing or Sales, Infrastructure

Revenue model

1. Natural Hazards Insurance Levy: Each year New Zealand homeowners pay a Natural Hazards Insurance Levy (formerly known as the EQC levy) as part of their private insurance premium, which goes into the Natural Hazard Fund. The levy is used for: cover after natural hazard events (most of the levy), research and education, and reinsurance to manage financial risk.
2. Crown Guarantee: The scheme is supported by a government guarantee. If there is a major natural disaster and the Commission cannot fulfil obligations through the fund and reinsurance, the government provides a loan to meet the shortfall.

Pricing tiers

Go-to-market motion1 record

Distribution channels2 records

Marketing channels7 records

Core offering

The Natural Hazards Commission provides the first layer of residential natural hazard insurance in New Zealand, covering damage to homes and qualifying land caused by earthquakes, landslides, volcanic activity, hydrothermal activity, tsunami, storms, and floods. Cover is provided up to $300,000 plus GST for building damage and additional contributions for land damage, delivered automatically through private insurers via the Natural Disaster Response Model (NDRM). The Commission also invests in scientific data, research, and public education to reduce the impact of natural hazards on people and property.

Product overview

Natural Hazards Commission Toka Tū Ake operates as a Crown entity offering natural hazard insurance rather than a traditional SaaS product company. Its core product is Natural Hazards Cover (NHCover), an insurance scheme providing the first layer of residential building and land coverage for natural hazards including earthquakes, landslides, volcanic activity, hydrothermal activity, tsunami, storms, floods, and landslides. The insurance is delivered primarily through a partnership model with private insurers via the Natural Disaster Response Model, where insurers assess and manage claims on the Commission's behalf. Supporting digital products include the Natural Hazards Portal (public-facing web platform aggregating hazard information and claims data) and a Natural Hazards Alexa Skill for voice-based hazard information. The organisation also operates a Resilience and Research Programme investing in scientific data, research, and public education, with the Code of Insured Persons' Rights establishing mandatory service standards for claims handling.

Differentiator

Problem solved

Functional benefit

Products and services

• Natural Hazards Cover (NHCover)
• Cover for Storm, Flood, and Landslide Damage
• Natural Disaster Response Model (NDRM)
• Natural Hazards Portal
• Natural Hazards Alexa Skill
• Code of Insured Persons' Rights
• Resilience and Research Programme

Named customers1 record

Segments4 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

Seven partnerships are on record, tiered core and minor.

• Private Insurers (majority of NZ insurers)coreChannel Partner/ Reseller/ DistributorThe Commission partners with most private insurers in New Zealand to simplify the process for making a natural hazard claim. Under the Natural Disaster Response Model (NDRM), private insurers assess, manage and settle entire claims on behalf of the Commission, providing homeowners a single point of contact.
• GeoNetcoreTechnology or IntegrationGeoNet provides high-quality information on geological hazards from more than 600 sensors placed around Aotearoa New Zealand. The Commission funds GeoNet and uses their data for loss modelling and event response.
• Ministry of Civil Defence and Emergency ManagementcoreStrategic or Co-development PartnerCollaboration on emergency management and natural disaster response. Joint development of the Natural Hazards Alexa Skill.
• Central and local government agenciescoreStrategic or Co-development PartnerWork closely with central and local government during natural hazard events to ensure coordinated recovery efforts. This includes cooperation with councils under the Civil Defence Emergency Management Act.
• University of CanterburyminorStrategic or Co-development PartnerAcademic partnership for natural hazard research. Funded PhD research in Disaster Risk and Resilience.
• University of AucklandminorStrategic or Co-development PartnerAcademic research partnership. Hosting researcher profiles such as Andrew Stolte, Senior Lecturer.
• Fair WaycoreImplementation/ SI/ Consulting PartnerIndependent dispute resolution scheme provider. Handles complaints about breaches of the Code of Insured Persons' Rights and reviews decisions made by the Commission.

Scale indicators7 records

Recent moves8 records

Expansion highlights5 records

Broad incumbents

• Suncorp Group (Suncorp New Zealand / Vero): Major Australasian general insurer and NHC partner in NZ through Vero and AA Insurance, sharing claim administration under NDRM and writing the excess residential cover above the NHC cap.
• Tower Limited: NZ-listed general insurer providing residential property cover including natural hazard top-up above the NHC cap — a direct NHC partner and competitor for the homeowner insurance wallet.
• Insurance Australia Group (IAG New Zealand): Largest general insurer in Australasia and a key NHC partner insurer in NZ (NZI, State, AMI brands), providing the primary private claims-handling interface under NDRM and writing top-up cover above the NHC cap.

Direct peers

• California Earthquake Authority: California's publicly-managed, state-backed residential earthquake insurer providing first-layer coverage similar to NHC's earthquake and natural hazard mandate, with similar reliance on reinsurance and assessments on private policies.
• Florida Citizens Property Insurance Corporation: State-created 'insurer of last resort' providing residential property coverage in catastrophe-prone Florida — comparable as a government-backed residual market insurer exposed to severe weather tail risk.
• Icelandic Catastrophe Insurance Fund (Bótasjóður): Iceland's statutory natural hazard insurance scheme for residential property, funded through a levy on fire insurance — closest international analogue in model design to NHC.
• CCRIF SPC (Caribbean Catastrophe Risk Insurance Facility): Regional parametric catastrophe risk pool providing government-backed natural disaster coverage across multiple Caribbean sovereigns — comparable as a pooled, government-supported catastrophe insurance facility.
• Turkish Catastrophe Insurance Pool (DASK): Mandatory residential earthquake insurance pool in Turkey, structurally analogous to NHC: government-supported, levy-funded catastrophe scheme providing standardised cover to homeowners in a highly seismic market.
• National Flood Insurance Program (NFIP): US federal programme providing government-backed flood insurance for residential property — a comparable state-sponsored catastrophe insurance scheme with statutory cap, subsidy dynamics, and reliance on Treasury backing.

Others

• GNS Science (GeoNet): Crown Research Institute operating the GeoNet seismic and volcano monitoring network that NHC funds and relies on for loss modelling and event response — an upstream data and research partner rather than a competitor.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights6 records

Customer concentration

• YouTubeyoutube.com/channel/UCn008_LQ4z89psIuaDBLyFg
• Facebookfacebook.com/earthquakecommission
• LinkedInlinkedin.com/company/natural-hazards-commission
• Xx.com/EQCNZ

Revenue estimate

Valuation estimate

Number of profiles

Profiles9 records

Funding overview

Funding rounds

Investors

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M&A

Investments

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Frequently asked questions about Earthquake Commission EQC