Blenheim residents say AA Insurance has stopped offering new home insurance policies in their town, following similar decisions in Westport and parts of greater Christchurch.
The insurer would not confirm that Blenheim and the neighbouring settlements of Renwick and Seddon were subject to its temporary halt.
Insurance Council CEO Kris Faafoi says the insurer is still supporting their current customers, and it's important for people to shop around.
"They all make their own business decisions about how much exposure they want to have on their books."
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Heather du Plessis-Allan Drive