Insurance customers march back to court to fight Southern Response

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1 NEWS

A group of policy holders in Christchurch are alleging Government-owned insurer Southern Response had a deliberate strategy to delay and underpay claims. 

Forty people, united in the claim they are victims of the insurer, today sought to relaunch a $30 million class action lawsuit. 

About 40 policy holders with government-owned Southern Response have made their second application to proceed with action against the company.
Source: 1 NEWS

It's their second application to proceed with the action after the first bid was rejected by the courts.

The group's lawyer told the court Southern Response adopted a strategy of providing substandard work and lowball offers to minimise its costs. 

Of the 40, architect Bob Burnett, whose award-winning home still stands neglected, says his house was made worse by shoddy workmanship.

"In the beginning there was a fair amount of trust, as time went on that just disappeared quite rapidly," he said. 

Southern Response's defence team denies any wrongdoing.

The judge has reserved his decision on whether the class action will go ahead. 

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