Borer and house insurance
Most people only find out what their policy says about borer once they've found it. Here's what to look for before you call your insurer.
Facts and prices checked 5 November 2026
House insurance in New Zealand usually doesn't pay for borer damage. The Insurance Council of New Zealand lists damage caused by insects or vermin, and gradual deterioration such as rot, among the common exclusions in house policies, and borer is both an insect and slow. The Insurance & Financial Services Ombudsman (IFSO) says house insurance generally excludes gradual damage. Wording varies between insurers and policy levels, so the only reliable answer is your own policy. This answer explains what to look for, and why treating early matters more than any claim. For costs, see borer treatment cost.
Why do house policies usually exclude borer?
House policies usually exclude borer because insurance is built for sudden, unforeseen events, and borer damage builds up over years. Two standard exclusions tend to catch it: damage caused by insects or vermin, and gradual deterioration (wear and tear, rot, mould and similar). ICNZ describes both as common. Treating borer is generally seen as maintenance, which is the owner's job.
What should you look for in your policy wording?
Look for three things in your policy wording: an exclusion that mentions insects, pests or vermin; a gradual damage or gradual deterioration exclusion; and any "resultant damage" clause that might cover sudden damage caused by something gradual. Read the definitions section too, because words like "vermin" and "gradual" may be defined there. If the wording is unclear, ask your insurer in writing.
| Clause | Why it matters for borer |
|---|---|
| Insects, pests or vermin exclusion | May exclude borer damage directly |
| Gradual damage or deterioration exclusion | Borer damage develops slowly |
| Resultant or sudden damage cover | Some policies cover sudden damage that results from a gradual cause |
| Maintenance obligations | Policies often require you to keep the house in good repair |
| Policy level (basic vs comprehensive) | Gradual damage cover differs between levels |
Could anything related to borer be covered?
Something related to borer could be covered in narrow cases, depending on wording. A policy with resultant damage cover might respond to sudden damage, such as a collapse, even if the underlying cause was gradual, though insects may still be excluded. IFSO notes some policies include limited gradual damage extensions, usually for hidden leaking pipes. Don't assume either way; ask.
Borer under the floor or in the roof space? Get a written quote
What does IFSO say about gradual damage disputes?
IFSO says that if an insurer relies on a gradual damage exclusion, it needs to show the damage developed over time and that the policy's exclusion wording applies. If you disagree with a decision, you can use your insurer's complaints process and then take an unresolved complaint to the relevant dispute resolution scheme. Keep photos, dates and treatment records, because the timeline usually decides these disputes.
Why do treatment records help?
Treatment records help because they show you maintained the house and when borer was dealt with. Keep the written quote, the invoice, the product used, the areas treated and dated photos of the holes before and after. If you sell, a buyer's inspector will want to know too. Records also help you judge whether new holes later are fresh activity or old damage.
The prevention guide suggests a simple yearly check to add to those records, and how to tell if borer is active explains what to photograph.
Are termites treated differently by insurers?
Termites are also insects, so the same exclusions can apply, but policies differ and exotic termites are a biosecurity matter handled by MPI. If you suspect termites, report them on 0800 80 99 66 and then talk to your insurer. Our borer vs termites page explains how to tell the difference.
Questions people ask
Does insurance cover borer treatment costs?
Generally not. Treatment is usually regarded as maintenance. Check your policy, but budget for treatment yourself.
Should I tell my insurer about borer?
Read your policy's disclosure terms. Some require you to tell the insurer about changes that affect the risk. If in doubt, ask them in writing and keep the reply.
Does a borer treatment affect selling the house?
Treating active borer and keeping the records is usually a plus when selling, because it shows the problem was dealt with. Untreated active borer is more likely to worry buyers.
Short answers like this one feed into Borer Treatment Auckland, which sets out every option from DIY to a professional visit.