Neoliberalism and Criticisms of Earthquake Insurance Arrangements in New Zealand

Global collapse of the Fordist–Keynesian regime of accumulation and an attendant philosophical shift in New Zealand politics to neoliberalism have prompted criticisms of, and changes to, the Earthquake and War Damage Commission. Earthquake insurance arrangements made 50 years ago in an era of collectivist, welfarist political action are now set in an environment in which emphasis is given to competitive relations and individualism. Six specific criticisms of the Commission are identified, each of which is founded in the rhetoric and ideology of a neoliberal political project which has underpinned radical social and economic changes in New Zealand since the early 1980s. On the basis of those criticisms, and in terms of the Earthquake Commission Act 1993, the Commission has been restructured. The new Commission is withdrawing from its primary position as the nation's non-residential property hazards insurer and is restricting its coverage of residential properties.