How do post-disaster policies influence household-level recovery? A case study of the 2010-11 Canterbury earthquake sequence, New Zealand

The arduous work of making claims in the wake of disaster: Perspectives from policyholders

“…There is also a gap between the "logics" employed by insurers to assess claims and the logics through which policyholders assign value to their belongings (Booth & Harwood, 2016), rendering true "like for like" replacement of lost property impossible (McFall, 2011). Building on research on disaster recovery (Eriksen & de Vet, 2021;Gearing, 2018;He et al, 2021), our participants' experiences show that extended and onerous claims processes fail to deliver on policyholders' expectations of protection and peace of mind and exacerbate the trauma arising from disasters. For some survivors, being subject to a "prolonged" and "adversarial" claims process can be "the most distressing element of their recovery," on par with the disaster event itself (He et al, 2021, p. 10).…”

“…In support of these findings, New Zealand research involving survivors of earthquakes in Christchurch and Canterbury in 2010–2011 highlights the impacts of prolonged negotiation processes for survivors, who received confusing and “conflicting” information about their claims from multiple insurance representatives with little knowledge of their situations (He et al, 2021, p. 7). For some, “the prolonged negotiation with insurance companies prompted [them] to settle before achieving their preferred outcome, as they ran out of energy and financial resources to continue the dispute” (He et al, 2021, p. 8). Interviews with Hobart residents affected by flooding in 2018 also emphasised the “disorienting” experience of fielding visits from assessors and other experts, which required policyholders to be “constantly available, flexible, and patient over … ‘countless hours’” (Lucas, 2021).…”

“…Unfavourable claims experiences can also affect survivors’ levels of trust in insurance. He et al (2021, p. 10) have found that “positive experiences during the recovery process fostered trust and confidence in others, whereas negative experiences tended to erode trust and generate uncertainty” surrounding insurers’ capacity to manage future disaster claims. Surveys indicate that trust in the insurance industry in Australia is already generally low.…”

“…The General Insurance Code of Practice (ICA, 2020a, clause 88) requires insurers to respond to catastrophes “efficiently, professionally, practically and compassionately,” 2 but expectations are often not met in the aftermath of large‐scale disasters when insurers receive tens of thousands of claims in a short period of time. Research suggests that problems with claims handling are exacerbated in disaster contexts, subjecting policyholders to burdensome processes beset by poor communication and delays (He et al, 2021; Lucas, 2021; The Treasury, 2011).…”

The role of place branding in promoting social capital in urban areas (case study: Ahvaz, Iran)

“…The formation and accumulation of these capitals require a neighborhood-oriented structure in management and planning. In centralist structures based on a traditional perspective, general and inflexible divisions of social capital, i.e., networks of cooperation and mutual trust are not formed (He et al, 2021). Neighborhood planning emphasizes that neighborhood residents, through the shared and long experience of living in an environment, can identify many of the needs and necessities of their daily lives and, in coordination with senior management, help create sustainable urban neighborhoods (Sakhaei, Yeganeh, Afhami, 2022).…”