New Zealand Insurance Industry lost 11.5 billion dollars *

Premium of earthquake insurance is known so expensive, in Indonesia its rate about 0,125 % of Sum Insured (SI).  Why? in case of major earthquake would cause massive damage and a very large value insurance claims.  History records a series of large earthquake occurrence in the Asia Pacific. Like the San Francisco earthquake, 1906, the Kanto earthquake in Japan, 1923, chile earthquake in 1960. This was The Largest earthquake ever instrumentally Recorded. It measured a 9.5 on the Moment Magnitude (Mw). The epicenter of the earthquake (the point on the earth's surface directly above the focus of an earthquake) was 60 meters down below the ocean floor about 100 miles off the coast of Chile out in the Pacific.

Earthquake San Fransisco 1906

And then followed Mexico earthquake magnitude 7.7 earthquake in Iran June 1990-50.000 killed, SR 9.8 earthquake & tsunami in Aceh in Indonesia December 26 2004 above 200.000 killed, SR 8.7 earthquake in Sichuan - China May 12, 2008, Pakistan earthquake January 11 2011, earthquake in New Zealand on February 23 2011 and Last March 11 Last Earthquake in Northern Japan.

Quoting from the source KOMPAS.com (Jakarta) - The devastating earthquake that struck Christchurch caused Insurance Industry swallowing losses to 11.5 billion NZ dollars, equivalent to 8.6 billion U.S. dollars. This information is derived from catastrophe modeling firm AIR Worldwide, a day after the quake on Wednesday (23/02/2011). 6.3 magnitude quake strength, Tuesday, February 22, 2011, was lower than the previous quake, but the damage is much more severe.

Earthquake New Zealand February 2011

Business Centre in the city of Christchurch, the second largest city after Wellington, show routine activities as usual. The Residents seemed to have forgotten the great earthquake 7.1 SR that occurred at September 2010. Some had already started their job after an hour lunch gone, when suddenly the city was hit by an enormous earthquake. In less than 1 minute Christchurch was devastated by the earthquake.

AIR Worldwide, US-based company, which specializes in forecasting the cost of natural disasters and terror attacks, said the extensive earthquake damage has closed most of the business center. Infrastructure was also destroyed. "AIR Worldwide estimates that losses on the insurance industry ... will range between 5.0 billion New Zealand dollars to 11.5 billion New Zealand dollars," the company said in a statement.

the second time a big quake hit in the last 6 months. Roads and bridges in Christchurch has been damaged by liquefaction, when the seismic vibrations of the earth play a fluid, Water said, noting the outskirts of the city and surrounding areas have also been affected. 6.3 magnitude earthquake on Tuesday following a 7.1 Richter magnitude earthquake in September 2010 and AIR said strong aftershocks in the city should still be wary of.

It also said the structural integrity of buildings which still survive in central business of Christchurch needs to watch out and be evaluated carefully, after the second time big quake hit in the last six months. Roads and bridges in Christchurch has been damaged by liquefaction, when the seismic vibrations rotate the liquid of earth from below so that water moves to the upper surface of the ground, damaging road infrastructure. AIR Worldwide has noted that the outskirts of the city and surrounding areas have also been affected. The 6.3 SR magnitude earthquake on Tuesday following a 7.1 SR in September 2010 and strong aftershocks in the city should still be wary of.

The estimated loss includes damage to commercial buildings and homes are insured, their contents and direct interference in business operations. Property that is not insured and damage to cars, land, and infrastructure is not part of the estimation.

6.3 Richter magnitude earthquake that struck New Zealand yesterday, not only killed at least 75 people an abut 200 lost in Christchurch. But also shaking up to 30 million tons of ice off the longest glacier in the country, sending blocks of ice plunge into the lake nearby.