Winston Peters is renewing his call for a state-owned insurance company.

It comes as the country's largest insurance company - IAG - looks to move more than 100 jobs from Christchurch to the Philippines.

The Deputy Prime Minister says the country needs a domestic competitor because the market is dominated by offshore ownership. 

"[We have] excessive premiums and a loss of jobs to other countries, and this will go on until we make a stand and say 'well we should have our own insurance company'."

He argues corporations are chasing third-world wages while operating in a first-world economy - and it's not good enough.

READ MORE: Gerry Brownlee responds to Winston Peter's claims

"It's a matter of being in a market without wanting to contribute to that very market itself, but about extracting as much profit out of it. That's why it's based in the Phillippines."

Peters says jobs going offshore are eroding our own economy but National MP Gerry Brownlee is warning people not to jump on an emotional band-wagon about a state-owned insurance company.

He says we've already been there, done that - with the cost of AMI going under in the Christchurch earthquakes hitting tax payers in excess of $1.5 billion.

"It's very easy to get emotionally nationalistic about what the country should have, and who should be operating in this country."