EQC's coffers are in 'good shape'

The Earthquake Commission remains in "good shape" to handle further disasters, says Finance Minister Bill English, a view supported by its chief executive Ian Simpson.
Prime Minister John Key has signalled big increases in the EQC levies New Zealanders pay as part of their home and contents insurance to rebuild the commission's core National Disaster Fund in the wake of the two Christchurch quakes.
Key said the commission was likely to be "cleaned out" as a result of damage claims by homeowners.
But English yesterday said the commission remained in "reasonably good shape".
"My advice is it could handle another disaster on the same scale [as last week's Christchurch quake]."
However it was not clear whether private insurers could handle another catastrophe.
The commission had $6 billion in reserves before the first quake last September. For each quake the commission pays an excess of $1.5 billion before reinsurance cover of $2.5 billion kicks in. APN