The great Kiwi insurance tradition of free windscreen replacement is under threat thanks to the high cost of new safety technology, according to one industry expert.

One company, Vero, is set to remove free cover for windscreens following a similar move in Australia. Others are likely to follow.

Once upon a time, windscreens were simply something you looked through, that kept the wind out of your face. But in modern vehicles, many contain a vast range of embedded safety and comfort/convenience technology, including cameras, radar, rain sensors, heating elements, light sensors, UV protective cover and even acoustic lamination.

Jo Mason, chief executive of NZbrokers - one of the country's largest insurance brokerage groups - says the change means owners of older vehicles will probably lose their free glass cover, even though the impact on insurers is due to the cost of repairing technology only found in the newest models.

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SUPPLIED NZBrokers chief executive Jo Mason: replacement cost of modern glass might now penalise owners of older cars.

Australasian safety authority ANCAP has been tracking the availability of camera-based Autonomous Emergency Braking (AEB) for the past two years, revealing a tenfold increase in the fitment of the technology in that period.

"Putting this in perspective, the average age of the four million vehicles in New Zealand's fleet is over 14 years - and you can pick up a standard windscreen for an older model for under $200," says Mason.

"Although some of this technology is just coming on to the market now, we've already had one insurer [Vero] say they will no longer provide free glass cover as a result of the higher cost of replacing windscreens."

"Our concern with this change is that for the vast majority of vehicles on the road, the cost to replace their windscreen is just a few hundred dollars, but the policy change should not penalise the owners of older vehicles who do not have the latest technology.

"Unfortunately the change by one insurer will mean that for all motorists regardless of the age of their vehicle, they are likely to lose the benefit of a replacement windscreen with no excess at some stage in the future, if not already."

SUPPLIED Technology that relies on windscreen-mounted cameras like AEB is rapidly becoming standard on new cars.

"Left unchecked, we believe this trend could become commonplace among all insurers which would be inherently unfair to most Kiwis and could be better managed by premium or excess increases for just those cars with modern technology," she says.

Mason says the change is likely to impact many motorists when they go to renew their vehicle insurance and they should check with their insurance broker to ensure they are adequately covered in the event of vehicle glass replacement.

"While we haven't seen this change implemented across all insurers yet, we believe it is inevitable that a maximum limit will be placed on the amount of windscreen cover unless consumer response to the potential change sees them look for alternative solutions.

"Consumers need to make sure they speak to their broker and read the policy fine print when they next renew their insurance and consider shopping around for the best coverage package that suits them," she says.

Vero says that its policy change has been made after a review of its motor insurance book, which showed the frequency of claims for vehicle glass had risen sharply over the past few years: "The rising number of claims, as well as rapid increases in vehicle technology, have contributed to a rise in claims' costs that we believe is not sustainable," says a Vero spokesperson.

"To help futureproof our motor insurance products, we will now be applying an excess for windscreen replacement claims, in the same way as any other vehicle claim. Windscreen repairs will remain excess-free for all customers and claims for vehicle glass will not affect our customers' no-claim bonuses.

"Because only approximately seven per cent of our customers claim for windscreen repair or replacement every year we believe these changes will only affect a small number of customers, and will assit us to keep premiums more affordable for all the customers. We have been communicating these changes with our customers as they renew their policies and explaining the reasons for these changes."