The Government has announced former Christchurch residential red zone property owners will be paid 100 per cent of the 2007-08 rateable value for uninsured homes.
Minister Megan Woods said today the payment is for property owners who haven't already received a payment.
“The plight of people who were uninsured at the time of the quakes has been one of the difficult legacies of the earthquakes," she said in a statement.
“The previous Government’s offer of nothing for uninsured homes left many people significantly out of pocket.
“As many of the people involved have tested their claims in court, we’ve been given clear rulings that an area-wide approach to red zoning suggested that an area-wide response was required to support recovery – one that did not differentiate on the basis of insurance status.
“It’s time to resolve this longstanding issue and provide certainty for everyone involved, so I am implementing this decision immediately."
Ex gratia payments will be made to the former owners of 103 uninsured and underinsured red zone properties.
It is likely to cost around $12 million.
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