How to Dispute an Insurance Claim in New Zealand (and How Long Insurers Have to Investigate)

Insurance disputes in New Zealand can be incredibly stressful. When your insurer delays your claim, denies it unfairly, or makes a lowball offer, it can feel like you have no power. But you do.

You have the right to challenge an insurance decision in New Zealand without needing to go to court or pay legal fees upfront. There are clear rules about how long your insurer can take to respond, and there are accessible paths to push back — fairly and effectively.

This guide explains your rights, the complaint process, and how to get help and resolution without the need to navigate the system alone.

Quick Overview: How We Can Help

Step 1: Reach out for an initial consultation (no charge for the first conversation).

Step 2: We review your claim and provide an independent, expert opinion.

Step 3: If the insurer's decision appears flawed, we help you respond and escalate where needed.

Step 4: We advocate on your behalf and support you through resolution.

You stay in control. We act as your claims advocate — but every final decision remains yours.

Can You Dispute an Insurance Claim at No Cost in New Zealand?

Yes. You can challenge any insurance decision through your insurer's internal complaints process and, if needed, escalate it to a government-approved external dispute resolution service — without paying legal fees.

This process is supported by the Fair Insurance Code, which requires your insurer to:

• Acknowledge your complaint within 5 business days

• Respond in detail within 10 business days

• Resolve your complaint within 2 months, or inform you of your right to escalate it

You are not required to hire a lawyer or go to court to pursue a fair outcome.

How Long Do Insurers Have to Investigate a Claim?

Here are the official timeframes in New Zealand:

ActionRequired TimelineComplaint acknowledgementWithin 5 business daysFormal response to complaintWithin 10 business daysFinal resolution or escalationWithin 2 months

If your insurer fails to meet these deadlines or continues to delay, you can escalate the matter to an external dispute resolution scheme.

What Happens If Your Claim Isn't Resolved?

If your complaint remains unresolved after two months, or your insurer issues a "deadlock letter," you can escalate it to a government-approved dispute resolution service. Every insurer in NZ must belong to one of these:

• Insurance & Financial Services Ombudsman (IFSO)

• Financial Services Complaints Ltd (FSCL)

These services:

• Are available to consumers at no cost

• Are independent from insurers

• Can make binding decisions on disputes up to $350,000 + GST

If your dispute is larger or more complex, legal advice may be required.

Most Common Reasons People Dispute Insurance Claims

Thousands of New Zealanders dispute claims every year. Common issues include:

• Unjustified claim denials

• Delays in investigation or decision

• Low settlements not matching the true loss

• Disputes over the cause of damage

• Poor communication and lack of transparency

Many policyholders don’t realise they have options to push back.

What You Can Do Right Now

1. Gather documentation – Photos, reports, emails, expert assessments

2. Ask for written decisions from your insurer

3. Track timelines – Watch for the 2-month deadline to resolve complaints

4. Get an independent opinion on the insurer's decision

You have the right to be heard — and the tools to challenge an unfair decision.

Need Help With an Insurance Dispute in NZ?

We specialise in helping New Zealanders challenge unfair insurance outcomes. Whether you’re facing a claim denial, slow progress, or an offer that doesn’t reflect your loss, we can:

• Provide a clear, expert second opinion

• Review your claim and policy in detail

• Help you present a stronger case to your insurer

• Support you through the dispute resolution process

Ready to take the next step?

• CONTACT US to discuss your claim

• VIEW OUR SERVICES to see how we help

Let us help you take back control of your claim with guidance you can trust.

Disclosure :

We do not provide legal or financial advice. Our service focuses on insurance claim support and dispute advocacy. Where legal expertise is needed, we work with or refer to qualified professionals.

This article is based on the Fair Insurance Code and publicly available data from ICNZ. For official guidance, visit icnz.org.nz.