The Fire and Emergency levy

Fire and Emergency New Zealand

The Fire and Emergency levy

Fire and Emergency New Zealand is mainly funded by a levy on contracts of insurance where property is insured against the risk of fire.

The definition of 'property'

'Property' means any real or personal property situated in New Zealand, but does not include the categories of property set out in Schedule 3 of the Fire Service Act 1975 (the Act), or any property which is the subject of cover under a contract of marine insurance as defined in the Act.

Property includes, but is not limited to: 

  • buildings
  • office equipment
  • plant equipment
  • contents
  • stock
  • car parks

Calculating and paying levy

Responsibility for calculating and making payment of levy depends on how the insurance cover is being arranged.

  • Where there is a New Zealand-based insurer involved in the policy, levy is payable by the insurer.
  • Where there is not a New Zealand-based insurer involved, but there is a New Zealand-based broker, levy is payable by the broker.
  • Where there is a New Zealand-based broker, but insurance is split between New Zealand-based insurers and offshore insurers, then the New Zealand-based insurer is responsible for their portion of risk insured, and the New Zealand-based broker is responsible for the portion of risk insured offshore.
  • In all other circumstances, levy is payable to Fire and Emergency New Zealand by the insured.

All payments of the Fire and Emergency Levy must be submitted with the appropriate forms, depending on the situation. For information on form requirements, see Levy payments and forms.

Levy is payable by the 15th day of the second month following commencement of the policy. For example, if a policy is from 1 January 2017 to 1 January 2018, then the Fire and Emergency Levy would be payable by 15 March 2017.

Goods and Services Tax (currently 15%) is payable on the Fire and Emergency Levy.

Late payments

Late payments may incur interest and/or surcharge, therefore it is in your best interest to ensure levy is paid by the due date.

Fire and Emergency New Zealand endeavours to ensure that direct payers who paid levy in prior years are sent reminder letters, however the calculation and payment of levy ultimately falls on the party that is responsible for payment.

Further policy and guidance

Guide

Purpose

Guide for levy payers

A guide for direct payers to the Fire and Emergency Levy.

 

Policy

Purpose

Levy compliance and enforcement

Sets out how Fire and Emergency New Zealand monitors and enforces aspects of levy during the levy transitional period.

Confidentiality of levy information and documents

Sets out policy to ensure that the confidentiality of levy information including details and personal information is maintained as set out in the Fire and Emergency Act 2017.

Interest on overdue levy payments

Sets out policy for charging and waiving of interest on overdue levy payments.

Assessment of levy refunds

Sets out policy for processing requests for levy refunds.

 

Further guidance

Purpose

Indemnity value, valuations and declarations

Guidance to assist those to whom the Act applies in regard to the levy in the calculation of Indemnity Values and the requirements around valuations and declarations as evidence supporting these calculations.

Completing the Fire and Emergency New Zealand Statutory Declaration

Guidance on how to complete the statutory declaration. For more information, see Statutory declaration requests.

Completing the Fire and Emergency New Zealand Statutory Declaration for overseas customers

Guidance on how to complete the statutory declaration guide for overseas customers. For more information, see Statutory declaration requests.

Valuations for Insurance Purposes, ANZ Guidance Note 13

Guidance on information, commentary, advice and recommendations for those undertaking valuations of property, plant and equipment for insurance purposes – including indemnity value.

Transitional period guidance for levy

Coming soon… For more information, contact fel@fireandemergency.nz

Property in course of construction or alteration, i.e. Contract of Works

Coming soon… For more information, contact fel@fireandemergency.nz

 

Example

Purpose

Submit levy information example

An example of the format to use to submit levy information.