When will car insurance not pay out in NZ?

• A blood or breath alcohol level over the legal limit.
• A later conviction for an alcohol or drug offence connected with driving or being in charge of the car.
• Intoxicating substances or drugs, "prescribed or not", that caused or contributed to the loss.
• Not stopping at, or leaving, the scene of an accident when that is an offence.
• Failing or refusing a lawfully required blood or breath specimen.
• No legal licence to drive in New Zealand, or not complying with the licence conditions.

These exclusions do not apply if the person in charge of the car has stolen it. Tower's car page says it covers drivers on a learner or restricted licence while they drive inside the conditions of that licence (Tower car insurance page). QuoteHub's page on car insurance for young drivers covers newer drivers.

Use	What the wording says	Page
Business or commercial	Motor trades, selling, driving instruction for reward, carrying goods or samples, hire, fare-paying passengers, any trade or business	16
Racing	Sprinting, drag racing, hill climbing, off-roading, rallying, time trials, motorsport, high speed driver training	17
Off-road	Open land, beaches, riverbeds, sand dunes (launching your boat from its own trailer is carved out)	17
Unsafe driving	Overloading, texting while driving, or driving it unroadworthy	16

Source for every row: Tower comprehensive wording.

Rideshare is the use most readers ask about. Tower's car page says neither its private nor its commercial policies cover rideshare and carshare services such as Uber, Ola, Zoomy and Yourdrive. It also says private policies cover driving to work but not using the car for work (Tower car insurance page).

• Modifications that differ from the manufacturer's specification, unless you chose the accessories and modifications benefit and Tower listed them on your certificate (pages 8 and 16). See modified car insurance.
• Tyres, unless the loss was malicious or happened alongside other accepted loss to the car (page 8).
• Personal effects and business tools left in the car (page 8).
• Wear, tear and depreciation, although resulting damage flowing directly from them is covered, and mechanical failure unless it results from a loss Tower has accepted (page 17).
• Fines, penalties and punitive damages, and criminal or reckless acts other than by a person who stole the car (page 16).
• A 72-hour stand-down for storm, flood, wildfire, tsunami, volcanic activity or landslide after the policy start date, and cyclones named before it (page 16).
• Another insurer's cover for the same loss, where Tower says it will not contribute (page 8).
• Personal injury covered under the Accident Compensation Act 2001 (page 15). See ACC and private insurance.

1. Statements at application, during the policy and in a claim must be honest, correct and complete.
2. The car must be kept in a roadworthy condition that would pass a Warrant of Fitness test.
3. Tower must be told immediately if the car starts being used for business, is modified, or has a new regular driver.
4. Tower must be told immediately about criminal or driving offences, licence suspensions or new licence conditions, and declined claims or refused insurance.
5. The car must be locked, with any alarm or immobiliser on, when unattended.
6. Premiums must be paid in full by the due date, and Tower may cancel if one is 28 days overdue.

At claim time, pages 21 and 22 add steps: get Tower's permission before arranging repairs, return any claim form within 30 days, let Tower inspect the car, and take reasonable steps to prevent further loss. Failing these can also lead to a declined claim (Tower comprehensive wording, pages 21 and 22). QuoteHub's guide to how car insurance claims work covers the normal process.

Tower car wording	Exclusions start	Responsibilities
Comprehensive	Page 15	Page 19
Third party, fire and theft	Page 15	Page 19
Third party only	Page 11	Page 15

See the guides to comprehensive cover and third party cover.