NZ quake repairs to cost $8.6bn
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Wellington: The devastating earthquake that hit New Zealand's Christchurch was set to cost the insurance industry up to NZ$11.5 billion ($8.6 billion), disaster modelling firm AIR Worldwide said on Wednesday.
The US-based firm, which specialises in forecasting the cost of natural disasters and terror attacks, said widespread quake damage had largely shut the city's business centre and infrastructure had also been hit hard.
"AIR Worldwide estimates that industry insured losses ... will be between NZ$5.0 billion and NZ$11.5 billion," the US-based firm said in a statement.
It said the structural integrity of surviving buildings in Christchurch's central business district would need to be carefully assessed after the city's second major earthquake in six months.
Roads and bridges in Christchurch had been damaged by liquefaction, when seismic tremors turn earth fluid, AIR said, noting suburbs and surrounding towns had also been affected.
The 6.3-magnitude earthquake on Tuesday followed a 7.0 magnitude tremor in September and AIR said strong aftershocks in the city remained a concern.
It said the estimated losses covered damage to insured commercial buildings and homes, their contents and direct interruption to business operations.
Uninsured properties and damage to cars, land and infrastructure were not part of the estimate.
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