The Government has announced updated rules for the Earthquake Commission, including a bit more cash for home-owners if they need to repair a quake-damaged house.

Under the proposed measures, EQC's building cap will be increased from $100,000 to $150,000.

The minister responsible for the EQC, Gerry Brownlee, said the cap hasn't changed since 1994 and, at that time, the amount would have built the average home.

"Over a period of time the private insurers have come back into the market quite strongly - we think that moving up to $150,000 does keep you in the repair area as opposed to the replacement which the private sector are able to accommodate these days."

The new rules also clarify that EQC land cover is for natural disaster damage directly affecting an insured residence or access to it, standardise claims excess on EQC building cover at $1000, ditch EQC's contents cover, and require EQC claimants to lodge claims with private insurers who will act as the contact point.

"The reforms we are announcing will simplify the relationship between the EQC scheme and private insurance and help provide faster and smoother resolution of claims following a major event," Mr Brownlee said.

The reforms have been five years in the making and it will be another three years before the changes are expected to be in place.