Labour would ban insurers charging loyal customers more

Labour has pledged to ban “loyalty pricing” in New Zealand insurance, proposing that insurers cannot charge long-time policyholders more than new customers for comparable coverage. The pledge, announced on November 2, 2026 ahead of the November 7 general election, would also prevent moving customers onto “unjustifiably” more expensive plans after an introductory offer ends. Labour says renewal pricing gaps penalize customers who stay, while creating incentives to switch that favor brokers. The proposal extends beyond insurance to phone and internet providers. Data cited from Quashed shows pricing gaps vary by age, with higher costs reported for people 61 and older. Labour also outlined broader consumer plans, including curbs on “junk insurance.”