AMI vs State Insurance NZ 2026: Car, House & Contents Compared Side by Side

Step 1. Understand the AMI and State Relationship

Before comparing individual policies, it is essential to understand the corporate relationship between AMI and State. Both are business divisions of IAG New Zealand Limited. They are not separate companies — they share the same underwriter, the same financial backing, and the same core infrastructure.

The Data:

AMI and State share several fundamentals: both hold an AA (very strong) financial strength rating from Standard & Poor’s through IAG, both use the IAG claims network and IAG HomeHub repair service, both offer a lifetime repair guarantee through their respective approved/preferred repairer networks, both have removed multi-policy discounts, and both operate entirely through digital channels with no physical branches. The table below highlights some features where AMI and State differ.

IAG New Zealand holds relationships with approximately one in every two New Zealand households. In October 2025, IAG was penalised $19.5 million by the High Court after the Financial Markets Authority found it had overcharged approximately 239,000 customers across AMI, State and NZI by failing to properly apply multi-policy discounts and other benefits. IAG self-reported the issues and completed refunds to affected customers.

The Lesson:

Choosing between AMI and State is not a choice between two fundamentally different insurers. It is a choice between two brands that sit on the same platform. The real question is not “which brand is better?” but “which brand offers the better price and policy configuration for my specific situation?” Because both brands use risk-based pricing, the same person can receive different quotes from AMI and State for materially similar cover.

The Action:

Do not assume that because AMI and State are owned by the same company, their prices are identical. Always compare quotes from both brands — and from competitors outside IAG. Run a free Quashed Market Scan to see how AMI and State compare against AA Insurance, Tower, Cove, AMP and more in under two minutes.

Step 2. Compare Car Insurance: AMI vs State

Both AMI and State offer three tiers of car insurance: Comprehensive, Third Party Fire & Theft, and Third Party Only. The policy structures are closely aligned, reflecting their shared IAG platform. However, there are differences in optional extras, branding of certain features, and — importantly — pricing.

The Data:

Core cover comparison — Comprehensive car insurance (as at March 2026):

The most visible difference in car cover is AMI’s inclusion of free AMI Roadside Rescue with all Comprehensive car policies. State offers roadside rescue as well, but it may be positioned as an add-on depending on the policy configuration. Both brands provide the same core coverage levels, the same liability limits, and the same agreed value approach to car valuation.

Pricing comparison — Comprehensive car insurance quotes:

Profile: 35-year-old male, NZ Full Licence, no claims or incidents in the past 5 years, no licence suspensions.

Across every city and excess level in these quotes, State came in marginally cheaper than AMI for the same vehicle and driver profile — typically by $1–$2 per month. Over a full year, that adds up to $12–$24. While the difference is modest, it is consistent and worth noting.

The Lesson:

AMI and State offer near-identical Comprehensive car insurance. The policy features are functionally the same, reflecting their shared IAG infrastructure. The main differentiators are AMI’s bundled Roadside Rescue and State’s marginally lower base price. For drivers who value roadside assistance included in their premium, AMI may have the edge. For drivers focused purely on price, State has consistently quoted slightly cheaper.

The Action:

Get quotes from both AMI and State for your specific vehicle, and compare them against the wider market. The gap between the cheapest and most expensive car insurance quotes for the same vehicle and driver averages $679 per year across the market. A $1–$2 monthly difference between AMI and State is small compared to the savings available by comparing across all insurers. Use the free Quashed Market Scan to compare in under two minutes. For practical tips on reducing your car insurance premium further, read our guide to saving on car insurance in NZ on Quashed.

Step 3. Compare House Insurance: AMI vs State

AMI offers Home Plus Insurance and State offers Home Comprehensive Insurance. Both provide a single tier of house cover (unlike some competitors that offer multiple levels). The core features are closely matched, which is expected given that both policies are underwritten by IAG.

The Data:

Optional extras for house insurance:

• Excess-free glass and bathroom fixtures (both AMI and State)

• Replacement of matching floor coverings (both AMI and State)

• Additional costs for heritage homes (both AMI and State)

• Lifestyle block fencing (both AMI and State)

Both AMI and State offer replacement cover if your home is totally destroyed by fire — meaning they will pay to rebuild even if the cost exceeds your sum insured. To qualify, your sum insured must be set at or above the estimate provided by the Cordell Sum Sure calculator (or, for homes valued over $1.5 million, a licensed property valuer). If your sum insured is set below this threshold, you will not qualify and your payout will be capped at your sum insured. This benefit does not extend to fire following natural hazards. It is a meaningful advantage over a pure sum insured model and matches similar features offered by AA Insurance (for all non-natural hazard events) and Tower (up to 20% above sum insured for fire).

The notable difference is in the positioning of two features. AMI highlights new structure build cover (up to $10,000 per year for materials and structures being built on your property). State highlights sustainability upgrades — according to State’s policy wording, if State determines that a residential dwelling is a total loss, it will pay up to $15,000 to upgrade the rebuilt home with sustainable products. Examples of eligible upgrades include solar panels, natural paints, water-efficient taps, improved insulation and other eco-friendly building materials. The benefit is paid on top of the standard policy payout and is designed to help homeowners rebuild in a more environmentally responsible way. Both features are practical, but they serve different needs: AMI’s suits homeowners doing extensions or additions during the policy period, while State’s provides a financial incentive to incorporate sustainable building materials if your home needs to be rebuilt after a total loss.

Pricing comparison — House insurance quotes (data sourced from the Quashed AMI Insurance review and State Insurance review):

Profile: Watertight, structurally sound and secure house with no unrepaired damage or urgent maintenance to complete. No optional extras added. No incidents or claims involving home or contents in the past five years.

The pricing differences between AMI and State for house insurance are more significant than for car insurance, particularly in Wellington. For a $1,200,000 sum insured property in Wellington, State quoted approximately $16 per month less than AMI at a $1,000 excess — a saving of roughly $192 per year. In Auckland, State was also consistently cheaper, though by a smaller margin. In Christchurch, the two brands were almost identical, with AMI slightly cheaper at the $700,000 level and State slightly cheaper at $1,200,000.

The Lesson:

AMI and State offer very similar house insurance policies, but pricing can vary meaningfully depending on your location and sum insured. Wellington homeowners in particular may find State offers better value for house cover. The difference in optional features — AMI’s new structure build cover versus State’s sustainability upgrades — may also influence your decision depending on your circumstances. If you are planning renovations or building additions to your property, AMI’s $10,000 per year new structure build cover may be more relevant. If you want the peace of mind that a total loss rebuild would include a contribution towards sustainable building products such as solar panels or enhanced insulation, State’s $15,000 sustainability upgrade benefit may be the more valuable feature.

The Action:

Quote both AMI and State for your specific property and compare the results. Then widen your comparison to include AA Insurance, Tower, Initio and others. Use the free Quashed Market Scan to see all your options in one place. For a complete guide to choosing and comparing house insurance, read the Ultimate NZ Guide to House Insurance (2025) on Quashed.

Step 4. Compare Contents Insurance: AMI vs State

AMI and State each offer one level of contents insurance. As with house and car, the core policy structures are closely aligned, but there are differences in pricing and some specific cover limits.

The Data:

Both policies cover belongings overseas on trips to Australia and the South Pacific Islands up to $5,000 per trip — a feature that most other major NZ insurers such as AA Insurance and Tower do not include under standard contents cover. The notable differences are AMI’s explicit home office equipment limit of $10,000 per event and State’s bicycle and e-bike cover of up to $3,000 per item and its energy-efficient whiteware replacement feature.

Pricing comparison — Contents insurance quotes:

Profile: Watertight, structurally sound and secure house with no unrepaired damage or urgent maintenance to complete. No optional extras added. No alarm selected. No incidents or claims involving home or contents in the past five years. 

At the same $500 excess, State was consistently cheaper than AMI for contents insurance across all three cities and both sum insured levels. In Wellington, the difference was particularly stark: for a $60,000 sum insured, State quoted $53.12 per month versus AMI’s $65.66 — a gap of over $150 per year. For a $100,000 sum insured, the gap remained significant across all regions, with Christchurch showing the largest dollar difference at over $109 per year.

The Lesson:

Contents insurance is where the pricing gap between AMI and State is most pronounced. Despite being sister brands under IAG, State has offered materially lower contents premiums in these sample quotes, particularly in Wellington. This reinforces the importance of comparing both brands rather than assuming they will be priced the same. The policy features are broadly equivalent, with minor differences in how standalone cover limits are presented.

The Action:

Compare contents insurance quotes from both AMI and State, then expand your search across the market. Use the free Quashed Market Scan to compare personalised contents insurance quotes from AMI, State, AA Insurance, Tower, Cove, AMP and more. For a full breakdown of how to choose and set your contents sum insured, read the Ultimate NZ Guide to Contents Insurance (2025) on Quashed.

Step 5. Know What Has Changed in 2026 — And Why It Matters for Your Decision

The NZ insurance market has shifted significantly heading into 2026. Several changes directly affect how you should evaluate AMI and State — and whether staying with either brand makes financial sense.

The Data:

• Multi-policy discounts have been removed by both AMI and State. AMI stopped offering its Multisaver discount on new home, contents and landlord policies from August 2024, and on renewals from October 2024. State dropped its multi-policy discount for new policies from March 2024 and on renewals from May 2024. There is no longer a financial incentive to keep all your policies with one of these brands.

• IAG was penalised $19.5 million in October 2025 for failing to properly apply multi-policy discounts and other benefits across AMI, State, NZI and banking partners. Approximately 239,000 customers were overcharged a total of $35 million. IAG self-reported the issues and completed refunds.

• Risk-based pricing means AMI and State can quote different premiums for the same risk. Despite sitting on the same platform, the two brands may use different pricing models or weightings, leading to different quotes for the same customer.

• All AMI and State physical branches have been closed since 2020. Both brands are now fully digital, operating through online accounts, apps and phone support. The customer experience is delivered through similar digital channels.

• The average Kiwi loyalty tax across car, house and contents insurance is $1,351 per year. Based on Quashed's Q4 2025 data, Kiwis who do not compare their insurance are paying significantly more than those who shop around. The average savings found on Quashed are $367 on car insurance, $673 on house insurance and $311 on contents insurance.

The Lesson:

With multi-policy discounts gone, there is no structural reason to keep all your insurance with AMI, State, or any single provider. The smartest approach in 2026 is to compare each policy independently — your car insurance might be cheapest with one provider, your house with another, and your contents with a third. The era of bundling for a discount is over.

The Action:

Review each of your policies separately. Compare car, house and contents insurance quotes from AMI, State and the wider market using the free Quashed Market Scan. You can also upload your existing policies to your Quashed dashboard to see all your cover in one place and identify where you are overpaying. For more on why bundling no longer saves money, read The End of Multi-Policy Discounts in NZ: Why You Must Shop Around in 2026 on Quashed.

Final Verdict: Same Parent, Different Prices — Always Compare

AMI and State are, at their core, two faces of the same insurer. They share the same financial backing, the same claims network, the same repair guarantees, and many of the same policy features. For car insurance, the differences are marginal — AMI bundles Roadside Rescue while State tends to price slightly lower. For house insurance, State has shown a pricing advantage in Wellington, while the two are close in Auckland and Christchurch. For contents insurance, State has been consistently and sometimes significantly cheaper.

But the real takeaway is not that one brand is categorically better than the other. It is that limiting your comparison to AMI and State alone leaves money on the table. In a market where the average gap between the cheapest and most expensive car insurance quotes is $679 for the same vehicle and driver, and where Kiwis using Quashed save an average of $367 on car insurance, $673 on house insurance and $311 on contents insurance, the opportunity cost of not comparing is real.

Use the free Quashed Market Scan to compare quotes from AMI, State, AA Insurance, Tower, Cove, AMP, Assurant and more. It takes under two minutes, costs nothing, and could save you hundreds per year — or confirm that you already have the right cover at the right price.

Related Reading

The Quashed team has the guides you need to compare AMI, State and every major NZ insurer:

• AMI Insurance NZ Review (2025): Is AMI the Right Insurer for You? — A full review of AMI’s policies, pricing, pros and cons across car, home and contents insurance.

• State Insurance NZ Review (2025): A Full Breakdown of Home, Contents and Car Insurance — An in-depth review of State’s cover, features and pricing across all major policy types.

• AA Insurance NZ 2026: Comparing Prices, Cover & Value Against Every Major Competitor — How AA Insurance compares to AMI, State, Tower, Cove and more across car, house and contents.

• Ultimate NZ Guide to Car Insurance (2025): Compare & Find the Best and Cheapest Cover — Everything you need to know about choosing the right car insurance in New Zealand.

• Average Car, House, and Contents Insurance Cost NZ 2026 — The latest Quashed Index Q4 2025 data on what Kiwis pay by region and by insurer.

• Multi-Policy Discounts on Insurance in NZ: What You Need to Know — Which insurers have removed multi-policy discounts and what it means for your premiums.

• The End of Multi-Policy Discounts in NZ: Why You Must Shop Around in 2026 — Why splitting your insurance across different providers could save you more than ever.

• How to Save on Car Insurance in NZ — Practical, data-backed strategies to reduce your premiums without reducing your cover.

Frequently Asked Questions: AMI vs State Insurance NZ 2026

Are AMI and State owned by the same company?

Yes. AMI and State are both business divisions of IAG New Zealand Limited, the country’s largest general insurance group. This is confirmed on both the AMI and State websites, as well as on IAG New Zealand’s corporate website. IAG also operates NZI and provides insurance products sold through ASB, BNZ, Westpac and the Co-operative Bank. Both AMI and State share the same AA (very strong) financial strength rating from Standard & Poor’s.

If AMI and State are the same company, why do their prices differ?

Although AMI and State share the same parent company and claims infrastructure, they operate as separate brands with their own pricing models. Risk-based pricing means each brand may weigh factors differently, leading to different premiums for the same customer. This is why it is important to compare quotes from both brands — and from other insurers — before making a decision.

Which is cheaper — AMI or State?

Based on sample quotes sourced from the Quashed AMI and State Insurance reviews, State was consistently slightly cheaper than AMI for car insurance, and noticeably cheaper for contents insurance at the same excess level, particularly in Wellington. House insurance pricing was mixed, with State generally cheaper in Auckland and Wellington, and the two brands very close in Christchurch. However, prices vary based on your specific circumstances — run a free Quashed Market Scan to see which is cheaper for you.

Do AMI or State still offer multi-policy discounts?

No. Both AMI and State have removed their multi-policy discounts. AMI stopped offering its Multisaver discount on new policies from August 2024 and on renewals from October 2024. State dropped its multi-policy discount for new policies from March 2024 and on renewals from May 2024. There is no longer a financial incentive to keep all your policies with either brand.

Can I have my car insurance with one brand and house insurance with the other?

Yes. There is no requirement to keep all your policies with the same insurer. In fact, with multi-policy discounts removed, splitting your insurance across providers is often the best way to save. You might find your cheapest car insurance with State, your cheapest house insurance with Tower, and your cheapest contents with AMI — or any other combination. Use Quashed to compare all your policies in one place.

How much can I save by comparing car insurance on Quashed?

Based on Quashed's Q4 2025 data, the average saving found by users was $367 on car insurance, $673 on house insurance and $311 on contents insurance. Some users save more than $1,000 across multiple policies. The gap between the cheapest and most expensive car insurance quotes for the same vehicle and driver averages $679 annually. Run a free Quashed Market Scan to see exactly how your current premium compares.

What happened with the IAG penalty in 2025?

In October 2025, IAG New Zealand was penalised $19.5 million by the High Court after the Financial Markets Authority found it had overcharged approximately 239,000 customers a total of $35 million. The overcharging resulted from failures to properly apply multi-policy discounts and other benefits across policies sold through AMI, State, NZI and banking partners. IAG self-reported the issues and completed refunds to affected customers.

Should I switch from AMI to State, or vice versa?

Switching between AMI and State may save you a modest amount, but the bigger savings often come from comparing across the entire market. AA Insurance, Tower, Cove, AMP and other insurers may offer significantly different pricing for the same cover. Rather than choosing between AMI and State alone, use the Quashed Market Scan to compare all your options side by side.