New Zealand has been ranked as the second-riskiest country in the world in a major international study released by Lloyd’s of London.

The report looks at non-life underinsurance and insurance penetration data for 43 countries. It’s the second report of its kind, the first of which was published in 2012.

"This report shows how risky New Zealand really is," Insurance Council chief executive Tim Grafton said.

"Since the last report in 2012, we’ve seen the cost of the Canterbury earthquakes continue to rise, a second major earthquake striking Kaikõura and Wellington and a major flood in Edgecumbe.

"As a risky country, it’s important we remain well-insured. That means not only ensuring we insure our assets but making sure coverage of those assets is sufficient to replace them. Fortunately, New Zealanders understand the value of insurance and demonstrate this in consistently high uptake levels."

New Zealand has the fourth-highest rate of insurance penetration globally, dropping one place from third in 2012.

There is a word of caution around this statistic, however.

"It’s important to note that although we have relatively high insurance penetration rates, that doesn’t mean all our assets are adequately insured," said Grafton. "It’s possible that people are under-estimating the cost to replace their assets, which could leave them vulnerable should another major disaster strike.

"We recommend everyone checks their current cover to ensure it’s fit for purpose and will give you what you need in the event of a total loss.”