Making a false or exaggerated insurance claim in New Zealand is considered insurance fraud, and it comes with serious consequences. Whether it’s a made-up theft, inflated claim value, or damage that didn’t actually happen, this kind of dishonesty can result in declined claims, cancelled policies, or even prosecution.
As Kiwis head to the bach or beach over the summer, insurance claims traditionally increase and unfortunately, so do fraudulent ones. The Insurance Fraud Bureau is reminding New Zealanders that honesty is critical, especially during the holiday season when both real and fake claims rise.
The Real Impact of Insurance Fraud in New Zealand
Every year insurance fraud in New Zealand drives up premiums, meaning you could end up paying more for your cover, even if you’ve done nothing wrong.
Even small exaggerations, like claiming a newer version of a stolen item or pretending something went missing during a break-in that never happened, are still considered fraud.
During the summer period, many claims come from unattended homes and baches. While genuine burglaries do occur, so do false reports. Some people see an empty property as a convenient cover story for an insurance fraud report.
But insurance companies are trained to spot suspicious claims. They look for inconsistencies, lack of evidence, or repeated patterns and they work closely with the Insurance Fraud Bureau to investigate.
How to Keep Your Summer Claims Honest
Here’s how you can protect your property and your integrity:
- Secure your property: Install locks, motion lights, and security cameras. Ask neighbours to keep an eye out if you’re away.
- Be accurate in your claims: Only claim what was truly lost or damaged, and provide honest, up-to-date information. A great way to support your claim is to think ahead at time of purchase and keep a record of receipts. That way, when something goes wrong, like a burglary, the claims process won’t cause headaches.
- Avoid inflating values: Insurers often request proof of purchase. Guessing high can be a red flag. Again, thinking ahead and keeping good records is the best way forward.
- Speak up if you see fraud: If someone you know is submitting a dishonest claim, you can report insurance fraud confidentially.
If you suspect someone is trying to cheat the system, here’s how to report insurance fraud in New Zealand
IFB provides a safe, confidential way for you to report your concerns.
- Report Insurance Fraud on our website
Click ‘Report Fraud’ - Submit what you know
You don’t need proof. Share any details you have, dates, names, vehicles, addresses, or suspicious behaviour. The more specific, the better, but every bit of information counts. - Remain anonymous if you wish
You can choose to provide your contact information or remain anonymous. Either way, your privacy is respected. We don’t share your identity with the person you’re reporting.
Once your report is submitted, our team of specialist fraud analysts will assess the information and, where appropriate, work with the relevant insurer to take further action. If you’re interested in learning more about what happens after a report is made, you can read our detailed blog post on the process, or this one about how we keep your information safe and confidential.
After You’ve Reported Fraud – What Happens Next?
All reports submitted to the Insurance Fraud Bureau (NZ) are treated seriously and confidentially. In some cases, your report may confirm patterns already under investigation. In others, it may help identify new fraudulent activity. While you may not hear back due to privacy reasons, your information plays an essential role in protecting the integrity of the insurance system.
“We’ve found that public cooperation can significantly reduce fraudulent activities, ultimately leading to fairer premiums and a more trustworthy insurance industry. We want to make sure that the insurance market remains reliable and equitable for all Kiwis”, Yvonne Wynward, IFB Manager, UnPacking Insurance Fraud in New Zealand.
Every report counts. By speaking up, you’re helping build a fairer insurance system for all New Zealanders.
How Insurers Share Information – The Insurance Claims Register
Many people don’t realise that insurers in New Zealand share information through a secure, industry-wide tool called the Insurance Claims Register (ICR). The ICR allows insurers to see past claims activity across different companies, helping identify unusual patterns, repeat claims, or potential fraud.
So, if someone makes a dishonest claim with one insurer and tries something similar with another later on, it may raise red flags. This shared visibility helps insurers detect fraud more effectively and protect honest customers from bearing the cost.
Being truthful and consistent in your claims history is essential. The ICR ensures there’s a record and that integrity matters, across the whole industry.
Let’s Keep Insurance Honest This Summer
Insurance fraud in New Zealand isn’t just a summer issue, but the holiday period often creates the perfect storm for false claims, especially from unoccupied baches and homes. Whether it’s a small exaggeration or a fully fabricated story, dishonest claims impact all of us by driving up the cost of insurance and eroding trust in the system.
As you enjoy the sunshine this season, remember that honesty protects more than just your own policy, it protects your community. If you see something suspicious, or know of someone submitting a dishonest claim, you can report insurance fraud safely and confidentially through the Insurance Fraud Bureau.
Doing the right thing helps ensure fairer premiums, faster support for genuine claims, and a more trustworthy insurance industry for all New Zealanders.
Frequently Asked Questions About Insurance Fraud
1. What is considered insurance fraud in New Zealand?
Insurance fraud includes any dishonest act relating to an insurance claim, such as exaggerating the value of stolen items, inventing a theft, or claiming for old damage. Whether intentional or not, this kind of dishonesty can lead to declined claims or legal action.
2. How do I report someone committing insurance fraud?
You can submit a confidential tip-off via the Insurance Fraud Bureau NZ website. It’s quick, secure, and can be done anonymously. Just look for the ‘Report Fraud’ section.
3. Can I get in trouble for reporting fraud if I’m wrong?
No. If you report insurance fraud in good faith, even if it turns out to be unfounded, you won’t face consequences. Your information helps protect honest New Zealanders and ensures insurers can properly investigate suspicious claims.