Pothole Damaged Your Car in NZ? How to Claim (2026)
- PotholeExpert
- 5 days ago
- 8 min read
If a pothole has wrecked a tyre, bent a rim or knocked your wheel alignment out, your first question is usually the same: who pays? In New Zealand the honest answer is "it depends" — on whose road it was, what cover you hold, and whether you can prove the road authority should have fixed the hole already.
This guide walks you through the four real options for a pothole-damaged car in NZ, and the one scenario where Rapidpatch is actually the right call. It is general information, not legal or insurance advice — but it should help you decide where to spend your energy before you start a claim.
Step 1: Was it a council road or a state highway?
This matters before you do anything else, because it changes who you talk to.
Local roads (most suburban streets, town roads) are looked after by your council — in Auckland, that is Auckland Transport (AT).
State highways (the SH-numbered roads, like SH1 or SH36) are managed by NZTA Waka Kotahi, not a council.
That distinction trips a lot of people up. A recent reported case involved a man whose Mercedes struck a pothole on SH36 near Rotorua — a state highway, so the relevant road authority there would be NZTA, not the local council.
Not sure which one you are on? Look up the road. If it carries an "SH" number, it is NZTA's. Everything else is almost certainly your council's.
Step 2: Claiming against the road authority (and the honest odds)
This is the route most people imagine when they think about claiming pothole damage from the council — and it is the one with the lowest success rate.
Liability is never automatic. A council, AT or NZTA is only on the hook if you can show they knew, or ought to have known, about that pothole and failed to fix it within a reasonable time. That is a negligence test, and the burden of proof sits with you, the driver. A fresh pothole that opened overnight is very different from one that had been reported weeks earlier and left.
How often does this pay out? For state highways, NZTA has reported paying only around 22 of more than 2,200 claims over about three years — roughly 1%, meaning the overwhelming majority are declined. That figure is NZTA's state-highway data only; Auckland Transport does not publish an equivalent rate, so do not assume AT pays any more freely.
So the realistic answer to "can you claim from the council for pothole damage" is: yes, you can lodge one, but most are declined.
How to actually lodge it
State highway (NZTA): NZTA's advice is to contact your own insurer first, who may then pursue NZTA. That is advice, not a rule — you can also lodge NZTA's online "Request compensation for vehicle damage" form directly, which is the usual path if you are uninsured or your loss is under your excess.
Local road (Auckland): AT does not publish a dedicated pothole-claim form. You go through its general report-a-problem and contact channels.
Step 3: Your own car insurance (comprehensive vs excess)
Often the faster path for car damage from potholes is your own policy — but only if it is the right type.
Only comprehensive cover insures damage to your own car from a single-vehicle pothole strike.
Third party, and third party fire & theft, do not cover your own vehicle's pothole damage.
Two important catches:
Tyre-only damage is commonly excluded. Many comprehensive policies exclude punctures, cuts or bursts to a tyre unless the damage happens alongside other accepted damage in the same event. So if a pothole only kills a tyre, you may not be covered; if it also bends the rim or damages the suspension, the tyre can sometimes come in as part of an accepted claim. Wording varies by insurer and policy version — read yours.
It is treated as at-fault. Because there is no identifiable third party, a pothole strike is handled as a single-vehicle, at-fault claim. Your excess almost always applies, and any no-claims bonus may be lost or stepped down (where your insurer still uses one).
So if you are wondering whether to claim for a damaged tyre — get a repair quote first. If the cost is at or near your excess, claiming is often not worth it once a higher future premium is factored in. Excess amounts vary widely, so there is no universal cut-off.
Step 4: When the repair or insurer goes wrong
Here is where a much-discussed case is genuinely useful — but only if you understand what it actually decided.
In that case, a Rotorua man's insurer arranged a managed repair that went badly: as reported by the NZ Herald (Open Justice), the car was sent to Auckland against his instruction, deadlines were missed, it came back unsafe with loose or missing wheel bolts, it failed a Warrant of Fitness, and premiums kept debiting after he cancelled. The Disputes Tribunal ordered AA Insurance to pay about $14,000 (reported as $14,136), and the insurer accepted the findings and paid in full.
The key point: this was not a win against the council or NZTA, and it did not decide who was liable for the pothole. It was the owner versus his own insurer, over a botched repair, decided under the Consumer Guarantees Act 1993 (CGA).
Why that matters for you: when an insurer arranges or manages a repair, the insurer is itself supplying a service, and the CGA guarantees that service is carried out with reasonable care and skill. The insurer stays responsible even though an independent repairer does the physical work. The CGA's consumer guarantees also override contrary policy terms for ordinary consumers.
A few honest caveats:
The CGA is not a "refund on demand". For a fixable problem, the first remedy is a free repair within a reasonable time; cancellation or a refund applies only where the failure cannot be fixed or is serious.
Disputes Tribunal decisions are not binding precedent — another referee could decide a similar case differently on its facts.
The Disputes Tribunal is the low-cost, lawyer-free civil route. Its limit rose to $60,000 on 24 January 2026 (it was previously $30,000, which many older guides still quote). Filing fees are tiered by claim size, and a Referee makes a binding order.
Step 5: The one pothole Rapidpatch actually fixes
Everything above is about potholes on public roads. The situation we handle is different — and it is one a lot of property owners don't realise is theirs.
If the pothole is on your own car park, driveway, forecourt or shared private accessway, the public-road rules don't apply. You are the one responsible for keeping that surface safe and maintained, and a failing surface is both a hazard and, for a business, a regulatory exposure. A few things worth knowing:
A commercial car park or forecourt used in connection with a business is generally treated as a "workplace" under health-and-safety law, and the owner generally owes a duty to keep the surface reasonably safe for customers and visitors, so far as is reasonably practicable.
In a unit-title development, a shared driveway or car park is usually common property, which the body corporate is generally responsible for maintaining.
That is where we come in. Rapidpatch is an Auckland asphalt and pothole repair contractor — founder Steve Parker has 22 years in the trade — and we fix the holes rather than argue about who pays for them. If you own or manage the property, that is the cleanest fix: repair it before it damages a vehicle or hurts someone. See our pothole repair and car park repairs services, or just get a free photo-quote — send a photo, get an indicative price, and we work to a 48-hour response.
The evidence to gather (whichever route you take)
If you do pursue a claim for damage caused by a pothole, the same evidence helps in every direction:
Dated photos of the pothole (with something for scale) and of the damage.
The exact location, plus date and time.
A repair quote or invoice.
Your insurance details, including your excess.
Critically, evidence the pothole was reported before your incident — a reference number. That is what proves the authority "knew".
To report a hazard (and create that dated record): the NZTA 24-hour line is 0800 44 44 49 (0800 4 HIGHWAYS) for state highways, and Auckland Transport is 09 355 3553 for urgent local-road safety issues. Yes, you can report potholes — and doing it promptly both helps the next driver and strengthens any later claim.
A note on injuries
If someone is injured by a pothole — on a road or on private property — that is generally an ACC matter, and you usually cannot sue for the personal injury itself. The real exposure for a property owner is property damage (a damaged vehicle) and health-and-safety regulation, not a personal-injury lawsuit.
Frequently asked questions
Can I claim from the council for pothole damage to my car?
You can lodge a claim, but it is not automatic. The council (or Auckland Transport for Auckland local roads) is only liable if you can prove it knew, or should have known, about that pothole and failed to fix it within a reasonable time. The burden of proof is on you. Success rates are low — for state highways, NZTA has reported paying only around 1% of claims. Reporting the pothole beforehand and keeping the reference number is the single most useful piece of evidence.
Is a pothole on a state highway the council's responsibility?
No. State highways (roads with an SH number, such as SH36) are managed by NZTA Waka Kotahi, not local councils or Auckland Transport. For a state-highway pothole, you deal with NZTA, including its online "Request compensation for vehicle damage" form. Local suburban roads are the council's responsibility — in Auckland, that is Auckland Transport.
Can I claim pothole damage on my car insurance?
Only if you hold comprehensive cover — third party, and third party fire & theft, do not cover your own car's pothole damage. Be aware it is treated as a single-vehicle, at-fault claim, so your excess almost always applies and any no-claims bonus may be affected. Tyre-only damage is commonly excluded unless it happens alongside other accepted damage in the same event. Always check your specific policy wording.
Is it worth claiming for a damaged tyre or rim from a pothole?
Get a repair quote first. If the cost is at or below your excess, it is generally not worth claiming, and even modestly above it can cost more once a higher future premium is factored in. Tyre-only damage is also often excluded from comprehensive policies. Excess amounts vary widely by insurer, policy and driver age, so there is no single figure that applies to everyone.
What was the AA Insurance pothole case actually about?
It was not a win against a council or NZTA, and it did not decide who was liable for the pothole. As reported by the NZ Herald, a Rotorua man's insurer arranged a managed repair that went wrong — wrong location, missed deadlines, the car returned unsafe and failing a Warrant of Fitness, premiums still debiting after cancellation. The Disputes Tribunal ordered AA Insurance to pay about $14,000 under the Consumer Guarantees Act, because an insurer that manages a repair is supplying a service that must be carried out with reasonable care and skill.
The pothole is in my own car park or driveway — what should I do?
Public-road claim rules don't apply; as the owner you are generally responsible for keeping that surface safe. For a business car park or forecourt, that is also a health-and-safety duty, and in a unit-title development a shared driveway or car park is usually common property maintained by the body corporate. The cleanest fix is to repair it before it damages a vehicle or causes a hazard. Rapidpatch repairs potholes and car parks in Auckland — send a photo for a free photo-quote.
Related guides
This article is general information only and is not legal or insurance advice. Your situation depends on your specific policy wording and facts. For your own case, check your policy and contact your insurer, Auckland Transport, NZTA Waka Kotahi, Citizens Advice Bureau, or the Disputes Tribunal — or seek independent legal advice.
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