Without intervention, we will see groups and communities already facing economic and social hardship further disadvantaged as a result of inadequate risk protection. To create inclusive progress, we need to ensure all New Zealanders are resilient to shock events.
We are seeing more large scale shock events disrupting lives and livelihoods, with far-reaching effects beyond the immediate and obvious impacts. The COVID-19 pandemic, the war in Ukraine, and the flooding in Tairāwhiti Gisborne, Marlborough and Tāmaki Makaurau Auckland are just a few of the recent examples of such events. And now, with the increased frequency of these events, communities are facing higher levels of risk than ever before. It’s the most disadvantaged groups who are most exposed, and typically have the least protection, therefore experiencing the greatest consequences.
Our public and private sectors both have an important role to play in distributing risks to incomes more equitably and exploring how to improve insurance accessibility to underserved communities.