Resolving Insurance Issue for Multi-Unit Buildings: Lessons Learnt from the Canterbury and the Kaikoura Earthquakes

<p><b>This thesis set out to investigate why it was difficult to resolve insurance claims for multi-unit buildings during the Canterbury (2010–2011) and the Kaikōura (2016) earthquakes. It found that the way multi-unit buildings are built gives rise to repair and decision dependencies. That means that sometimes units are not able to be repaired in isolation of each other; and where repair dependencies are triggered, owners need to make common decisions on how the property is reinstated. The problem is that not all types of multi-unit buildings have the infrastructure to recognise the repair dependencies or the governance structure to facilitate common decision-making. This leads to civil disputes between owners, which in turn create difficulties with progressing insurance claims, and even prevent repair of the properties.</b></p> <p>While the thesis is concerned with insurance and finding better ways to resolve insurance claims for multi-unit buildings, the evidence is that this cannot be achieved without changes to the area of property law. Therefore, the thesis makes major recommendations in relation to how multi-units are built, managed, and regulated. The guiding principle is that multi-unit buildings are communities, and they must be recognised as such. In addition, the thesis suggests changes to the way insurance companies manage claims for multi-unit buildings.</p> <p>At the heart of the study is a broad empirical research into the Canterbury and the Kaikōura earthquakes. This includes extensive interviews, online surveys, and discussions with representatives of the insurance industry, government departments, lawyers, and homeowners.</p>