The Government has changed how the Fire and Emergency New Zealand (FENZ) Levy is calculated and what policies it applies to. All insurers are required to collect the levy as part of premiums and pass it directly to FENZ.
We’re here to help you understand what’s changing and what it means for you before your policy renews.
You can read the Fire and Emergency Levy Guide on the FENZ website here.
What is the FENZ Levy?
The levy helps fund FENZ including rural brigades and emergency services across the country.
- The levy model is set by the Government.
- The levy is included in certain insurance policies.
- All insurers are required to collect the levy as part of premiums and pass it directly to FENZ.
Key changes you may see
Levies based on sum insured
- For farm and commercial buildings and contents, the levy will be calculated based on your sum insured. For farm buildings with a full replacement basis of settlement, we’ll calculate the levy based on estimated costs to rebuild. For buildings and contents with replacement cover, the levy can no longer be based on the indemnity value.
Flat levy for vehicles
- A flat levy of $25 per vehicle will apply, replacing the current system.
New categories included
- FENZ levies will be collected for livestock and forests.
Fewer declaration requirements for some property and items
- Some clients may no longer need to complete levy declarations for certain buildings and contents.
Changes to exemptions
- Some item types may now be included or excluded.
Updated residential definitions
- New rules may affect how mixed-use buildings (e.g. business and accommodation) are treated.
How this could affect you | What FMG is doing |
|---|---|
The impact will depend on what you insure. You might see:
Some clients may see a change in their premium. These changes will start to apply whenever your policy renews (between 1 July 2026 and 30 June 2027) or when new items are insured from 1 July 2026. | In addition to updating our systems, processes, and policies, and advocating for fair and practical outcomes for our clients, our focus is on:
|
What to expect from us | Information we may need from you |
If we need information from you, we’ll be in touch before your policy renews. Otherwise, expect to see your latest levy rate in your next renewal statement. We’ll contact you if:
| To calculate your levy correctly, we may ask for details such as:
We’ll let you know exactly what’s needed and why. |
Possible changes to your cover
To better align our policies with how the levy is calculated, some policies may change.
This could include:
- changes to how some items are grouped or defined
- updates or removal of certain cover types.
See our Understanding your policy changes page, which includes changes we’ve made to align with the new FENZ levy model.
Common Questions
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The new levy model and any changes to your policy or cover will not apply to you until your policies are up for renewal, from 1 July 2026 onwards.
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It depends on what you insure. We’ll confirm what this means for you at your next renewal.
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The Government is updating how FENZ is funded to reflect the broader role of emergency services and to create a more sustainable funding model.
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As is required of all insurers, FMG collects the levies on behalf of the Government as part of premiums and passes them directly to FENZ.