Tower has been named Canstar’s Home and Contents Insurer of the Year for 2025, marking its second consecutive win in the category.
The annual awards compared products from 11 providers and assessed value, coverage, and customer satisfaction metrics across the New Zealand market.
Canstar’s evaluation identified Tower as offering a combination of competitive pricing and strong coverage, particularly for high-risk events such as floods, earthquakes, and theft. The analysis incorporated both policy features and survey feedback from customers.
Tom Slee, Canstar’s group manager for wealth, health, and New Zealand, said the findings highlighted the importance of balanced coverage in a high-risk environment.
“When it comes to insurance, cheap is not always best. The right level of cover is essential, especially given New Zealand’s temperamental weather and geography,” he said.
Canstar’s Insurer of the Year Award was based on its broader Outstanding Value Home & Contents Insurance Awards. It included an assessment of customer experiences, focusing on service, value, communication, comprehensiveness of cover, and overall cost.
Paul Johnston, interim CEO of Tower, said the company’s focus remains on making insurance accessible through flexible offerings and risk-adjusted pricing.
“Thank you to our customers for trusting Tower to look after you when the worst happens. As a born and bred Kiwi insurer, we are incredibly proud to be New Zealand’s Canstar Home and Contents Insurer of the Year for the second year in a row,” he said.
A stress testing exercise led by the Reserve Bank of New Zealand (RBNZ) evaluated the sector’s response to a severe earthquake and rising cyber risks.
The test simulated a magnitude 8.7 quake along the Hikurangi Subduction Zone, estimating insured losses of $62 billion among participants and a market-wide impact nearing $100 billion.
Despite the scale, participating insurers reported they would be able to meet claims obligations.
However, the scenario also revealed that most would require substantial financial backing – mainly from international parent companies and reinsurance markets – to maintain solvency and resume underwriting.
The sector recognition and stress test come at a time when communities report increased anxiety around extreme weather events.
According to a study released by insurers AMI, State, and NZI, over half of surveyed residents reported increased anxiety around severe weather.
The insurers’ Wild Weather Tracker found that flooding and heavy rain were top concerns, while earthquake risk remains prominent for many New Zealanders.
