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Landlords Beware - A new turn on Meth threshold

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  • donna
    Enjoy today!
    • Aug 2003
    • 9771

    #1

    Landlords Beware - A new turn on Meth threshold

    I didn't know this - and I'm guessing many Landlords will be in the same position as me.

    Did you know the TT (tenancy tribunal and insurance companies use different meth thresholds)? The TT uses the higher one....

    The tribunal uses a threshold of 15 micrograms per 100cm² when it judges whether a tenant has “contaminated” a rental.

    That figure comes from a Crown-commissioned report by Sir Peter Gluckman, which found there was no evidence third-hand exposure to meth resulted in adverse health outcomes.
    A Landlord's insurance company is using the lower threshold.....

    Yet, Hutchison’s house insurance company uses the official Standards New Zealand threshold of 1.5 micrograms - meaning she had to go through the process of decontamination.
    Labour wants the 15 milligrams threshold but require tenants and LLs to do meth testing.

    The Government has consulted on proposed new meth regulations that would make the Gluckman threshold the official standard, and allow both tenants and landlords to require testing.

    Submissions closed in March, but the Government has reserved any decision until after the general election, leaving landlords in limbo.

    It wasn't a great experience for the Landlord in Stuff's story, as the lower threshold meant she had to cough up $5000 and couldn't prove it was the tenant's fault.

    However, what's interesting is the LL will be like many of us including real estate agents, property managers etc, who are using the higher threshold (stated on government sites like settled.govt.nz ) and not getting the meth testing done before changing tenancies.

    That will change with legislation should the LL or tenant require the testing to be done.

    Secondly, requiring testing will see another boom of dodgy meth testers yet another nail in the coffin for property investment. There will be the need to get tests done so the LL can prove fault and probably a return to meth testing before selling your property.

    When first reading the Stuff article - it's easy to get caught up in the story that a renter becomes a LL and now knows how tough it is for LLs to get justice. The more pressing issue is however, what impact a change to the testing of Meth will have on the property market and particularly rental properties.


    cheers,

    Donna

    An Auckland woman who rented for 12 years lasted just three months as a landlord after her property was contaminated with meth.
    Last edited by donna; 07-09-2023, 04:10 PM.
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  • frances56
    Freshie
    • Apr 2008
    • 51

    #2
    Hello there. I think I'm missing something.. Why would the insurance company be involved in the first place.. If the landlord tested and it was under 15mcg wouldn't you just carry on and not contact your insurance company as its under the threshold.?

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    • donna
      Enjoy today!
      • Aug 2003
      • 9771

      #3
      I'm wondering if the LL is obligated to inform their insurance co - if there has been Meth smoking? If not, then if it was an isolated incident - you wouldn't mention it.

      I guess the issue with this LL and property however, is there was $30K worth of damage that the LL went to the insurance company to pay. She ended up having to pay $5K due to the meth low threshold (which I am guessing she'd only have known about by reading the small fine print of her policy).

      Going forward from March 24 if the legislation changes the official Standard NZ threshold to 15 mg that will provide consistency and though it's highly unlikely it should lower premiums.

      cheers

      Donna
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