Which Insurer Will Actually
Cover Your Tiny Home?
We've researched how AA Insurance, Initio, State, Tower, and specialist insurers approach tiny home cover in New Zealand — so you don't have to make a dozen calls to find out who will say yes.
Get Specialist Cover →The Short Answer
If your tiny home is permanently fixed to the land, has a Code of Compliance, and looks like a very small conventional house — mainstream insurers may cover you. If it's on wheels, off-grid, owner-built, or in a container, you'll almost certainly need a specialist.
Detailed Cover Comparison
What each insurer covers (or doesn't) for different tiny home types and situations in New Zealand.
| Cover Feature | AA Insurance | Initio | State | Tower | Specialist via our advisers |
|---|---|---|---|---|---|
Tiny home on wheels (not fixed to land) AA requires wheels removed & home fixed to piles. Initio redirects to caravan insurance. No mainstream insurer will cover a THOW as a home. | ✗ | ✗ | ✗ | ✗ | ✓ |
Off-grid systems (solar, battery, rainwater) Standard policies don't include solar battery banks, rainwater systems, or composting toilets. Specialist endorsements are required. | ✗ | ✗ | ✗ | ✗ | ✓ |
Container home / non-standard construction Initio may consider fixed container homes with CoC. Mainstream insurers generally exclude Cor-Ten steel and non-standard construction. | ✗ | ~ | ✗ | ✗ | ✓ |
Owner-built / DIY tiny home All mainstream insurers decline owner-built homes due to lack of formal compliance verification. Specialists assess on a case-by-case basis. | ✗ | ✗ | ✗ | ✗ | ✓ |
Transit cover when towing Building insurance typically excludes the home during transit. Specialist transit policies are required for moves. | ✗ | ✗ | ✗ | ✗ | ✓ |
Campground / holiday park siting AA may cover a fixed tiny home parked at a campground site. Mainstream insurers generally require a fixed street address. | ~ | ✗ | ✗ | ✗ | ✓ |
No Code of Compliance (2026 consent exemption) Under the January 2026 building consent exemption, Initio has confirmed it can consider homes under 70m² built by LBPs without a traditional CoC. | ✗ | ~ | ✗ | ✗ | ✓ |
Lifestyle block / rural off-grid siting Rural siting is acceptable if the home has a fixed foundation, street address, and rateable value. Remote off-grid sites without these typically require specialist placement. | ~ | ~ | ~ | ~ | ✓ |
Fixed tiny home with CoC & permanent foundation A permanently sited tiny home under 50m² with full compliance documentation can typically be covered by mainstream insurers, though some may apply restrictions. | ✓ | ✓ | ~ | ~ | ✓ |
Full replacement value (agreed value) Caravan and standard policies use market value or depreciated value. Specialist policies can be structured on an agreed replacement cost basis. | ✗ | ✗ | ✗ | ✗ | ✓ |
What Each Insurer Actually Says
Based on publicly available policy wordings, underwriting guidelines, and published insurer statements.
AA Insurance
Fixed homes onlyAA Insurance will consider tiny homes that are permanently fixed — wheels removed, bolted to piles, connected to services, with a Code of Compliance and a rateable value. Any tiny home that can be moved, including one that is merely sited on a block and never actually towed, is declined outright.
Initio
Fixed homes + 2026 exemptionInitio is one of the more progressive mainstream insurers for tiny homes. They will consider fixed tiny homes, and have publicly confirmed they can work with homes built under the January 2026 building consent exemption (sub-70m², built by LBPs). However, they explicitly direct tiny home on wheels owners to caravan insurance, which is inadequate for a full-time dwelling.
State Insurance
Standard homes onlyState Insurance applies standard residential underwriting criteria. Tiny homes that meet those criteria — fixed foundation, council rates, Code of Compliance, conventional construction — may be insurable. Non-standard tiny homes, including all tiny homes on wheels, container homes, and off-grid dwellings, fall outside their appetite.
Tower Insurance
Standard homes onlyTower Insurance takes a similar position to State. Standard residential policies are available for conventional fixed dwellings. Tiny homes on wheels, container conversions, and off-grid properties are generally outside their appetite. Tower does not have a specialist tiny home product.
Specialist (via our advisers)
All tiny home typesSpecialist insurers accessed through our adviser network are specifically built for the tiny home market. They understand the difference between a THOW and a caravan, the replacement value of a custom-built dwelling, and the infrastructure requirements of off-grid living. They can structure policies that cover your home exactly as it is — on wheels, in a container, or off-grid — at full agreed replacement value.
Why Caravan Insurance Isn't the Answer
When mainstream insurers decline a tiny home on wheels, they typically suggest caravan insurance. Here's why that's not an adequate solution.
Caravan policies are designed for manufactured caravans that typically cost $30,000–$80,000. A custom-built tiny home on wheels commonly costs $100,000–$250,000. The standard caravan limits leave you severely underinsured.
Most caravan policies pay market value, not replacement cost — and they depreciate the value over time. If your tiny home is destroyed, you may receive a fraction of what it would cost to rebuild.
Caravan insurance is designed for recreational use, not full-time living. Many policies have restrictions on continuous occupation that can void cover if you live in your home full-time.
Caravan policies don't cover solar panels, battery banks, rainwater systems, or the other infrastructure that makes a tiny home genuinely liveable. These are simply outside the scope of caravan insurance.
Common Questions
Can I just ring AA or Initio directly?
You can, but be prepared for a likely decline if your tiny home is on wheels, off-grid, or owner-built. Mainstream insurers have strict underwriting rules. A specialist adviser saves you the runaround and goes directly to markets that will actually cover you.
What if my tiny home is fixed but still custom-built?
A fixed foundation tiny home with a Code of Compliance and rateable value has a reasonable chance with mainstream insurers like AA or Initio. However, if it uses non-standard construction materials or off-grid systems, you may still hit exclusions — and a specialist can often offer better terms even for compliant fixed homes.
Does the 2026 consent exemption help with mainstream insurers?
Initio has confirmed they can consider homes built under the January 2026 consent exemption (sub-70m², built by Licensed Building Practitioners). This is a positive development, but doesn't help if your home is on wheels or uses off-grid systems.
What does "specialist" actually mean?
Specialist insurers are underwriters who have specifically developed products for non-standard property including tiny homes, container homes, and off-grid dwellings. They understand the risk profile, can set appropriate sums insured, and have policy wordings designed for the way tiny home owners actually live. Our advisers place your home directly with these underwriters.
We Know Who Will Say Yes
Instead of calling five insurers and getting five declines, tell us about your tiny home once. Our NZ-licensed advisers go directly to the specialist market and come back with options that actually work for your situation.
- ✓Tiny homes on wheels, containers, and off-grid — all covered
- ✓Agreed replacement value — not market value or depreciated cost
- ✓Transit cover for when you tow
- ✓Off-grid systems explicitly included
- ✓NZ-licensed advisers · Response within 1 business day
Get Your Tiny Home Quote
NZ-licensed advisers respond within 1 business day