From 1 July 2026, changes to Fire and Emergency New Zealand (FENZ) levies are expected to significantly reduce levy costs for many heavy vehicle operators. Currently, vehicles over 3.5 tonnes are charged a levy based on the insured value of the vehicle. For example, a $400,000 truck currently attracts a FENZ levy of around $478 per year.
Under the new regime, all vehicles will instead move to a flat $25 levy per unit, regardless of vehicle size or value. Operators renewing insurance policies after 1 July may therefore see materially lower levy costs on heavy vehicle fleets, while light vehicle fleets may see increases. Depending on fleet composition and renewal timing, some operators may wish to discuss with their insurance broker whether there is any benefit in moving renewal dates to after the new levy regime takes effect.
There is more information in the advisory from Gallagher Insurance brokers available here.
The changes come at a time when the TNZ / Grant Thornton Transport Cost Index shows vehicle insurance costs fell 0.37% between December 2024 and December 2025, highlighting the value of regularly reviewing insurance arrangements and market pricing.
Transporting New Zealand members wanting to better understand how the levy changes, insurance pricing, and member discount arrangements may affect their business are encouraged to contact their TNZ Membership Manager for a confidential, no-obligation discussion about available TNZ insurance offerings and discounts from leading providers.
Contact your TNZ Membership Manager here.
