INSURANCE RISKS BEING INCREASED ON GREYMOUTH BUILDINGS

Grey River Argus, 7 October 1948, Page 4

INSURANCE RISKS BEING INCREASED ON GREYMOUTH BUILDINGS

The presence of a “fire bug" in or about Greymouth, and the five mysterious fires which have taken place in the borough during the past fourteen months, have awakened considerable interest amongst property holders in the town. Yesterday it was stated in insurance circles that many holders of policies had made inquiries as to the possibility of increasing their risks in tne light ot recent happenings. Some firms, holding many policies for saie keeping, are informing the policy holders of their possession of the documents, and asking whether they wish to increase their present cover. CAN BE INCREASED Unlike land sales values, it was stated by one insurance authority yesterday, the insurance companies placed values on buildings more in line with current replacement costs. This meant, in effect, that buildings to-day could be insured for considerably more than their actual building costs prior to the introduction of Land Sales Legislation over six years ago. It is conceded that replacement costs to-day are considerably in excess of building costs in 1942, particularly In regard to public buildings. The latter are most affected by the risk of fire, particularly as few local firms employ night watchmen. In view of the time generally chosen for the fires of the period —early on a week-end morning—many firms are taking steps to increase the value of their policies, and this applies to the owners of halls and other types oi buildings which have been set afire recently. Immediate cover has been sought bj many people who have already taken steps to increase the value of their policies against the possibility that they might be future victims of mysterious fires.