Floods are Rising in BC
Floods are Rising in BC
The weather in BC over the past few years has been erratic and hard for many people. Wildfires in the summer have required families to flee their homes and floods have devastated homeowners across the province on a number of occasions. Even as recent as January, river levels were rising due to heavy rainfall on Vancouver Island, placing BC’s southwest on alert for flooding. The BC River Forecast Centre issued a flood warning for southern Vancouver Island, central Vancouver Island and eastern Vancouver Island.
Floods Becoming More Regular
The rate of flooding has risen over the past five years in BC and this has created a lot of upset and uncertainty for may people living in the Lower Mainland. The issue is that a flood that moves into a home, can create a lot of damage. No one wants to see water entering their home but living in BC requires being a little bit prepared for this happening.
How Floods Influence Insurance Premiums
In Canada,flooding is the most common and costly natural disaster, causing approximately $1.5 billion in damage to households, property, and infrastructure annually, with residential property owners bearing approximately 75% of uninsured losses each year.
Many homeowners are unprepared for flooding because they lack critical information thanks to murky real estate rules, incomplete floodplain maps and an insurance industry pulling back from high-risk areas, a Marketplace investigation has found.
The IBC estimates that anywhere from six to 10 per cent of Canadian homes are currently uninsurable due to flooding and that estimate could go up as more insurance companies update their risk assessments to account for the rising threat of climate change.
According to a 2019 federal government report, Canada’s climate is warming at double the rate of the rest of the world, and the IBC estimates that currently 1 in 10 Canadian homes is at high risk of flooding and some face possible repeated flooding over the next 20 years.
The recent flooding in British Columbia has made the issue of flood insurance coverage top of mind for many homeowners, as some residents there, unable to find coverage, turn to provincial disaster assistance, and others assess what coverage they have as the cleanup begins.
Insurance unaffordable for many
Insurability is eroding in Canada as the prices are rising so much every year. For the average family in BC, it is unaffordable to buy a home as well as cover insurance and other expenses. The rising cost of insurance is down to the higher amount of claims that are occurring on an annual basis. Climate change has caused this rise in flooding to be a new norm. This in itself is worrying as it means a greater chance for an incident at home but also a rise in premiums is likely something that is here to stay.
When it comes to insurance, you need to take the time to ensure you have all the coverage you need. If floods are worrying you, it is imperative that you checked your current policy and then request a review so you can ensure you are protected but also to receive further guidance on the policy details. You need to work with someone who you can trust and can align the insurance you get with what you truly need in BC right now.
At Leaders Insurance, we have a team of skilled brokers in the home insurance area. If this topic makes you wonder what your policy includes, we welcome your call so we can review your existing policy and ensure you have adequate coverage in the event of a flood. Don’t be left without the coverage you need when you need it most. We take the time to understand your needs and can help you as you find what is right for you. We look forward to assisting you with all of your insurance goals and requirements. Contact Us today.
Why Purchase Pollution Liability Insurance?
Why Purchase Pollution Liability Insurance?
You own a business and you want to protect it but sometimes when you are finalizing your insurance you don’t think of all the things that could happen. This is often the case with liability claims. As a business owner, you need to particularly careful about protecting yourself from getting sued as it can be a very pricey endeavour to deal with in terms of legal fees and damages. Most of the time, companies settle to minimize legal fees and this is where having the right coverage can be a very important decision when you finalize your insurance. One of the areas that is often not considered is pollution liability insurance especially if you are in a business where pollution is not top of mind. Let’s learn a bit more about pollution liability insurance through an example…
Melted Butter Spills in Canal
As noted by USA Today, a fire broke out in the butter storage room of a dairy plant in Portage, Wisconsin, on January 2nd, spreading melted butter throughout the facility and into a nearby historic canal. Crews responding to the buttery incident at the Associated Milk Producers plant deployed the same materials used in oil spills to clean up the mess.
“The spilled butter clogged storm drains and the Portage Canal, a historic waterway, with butter floating on top of the water in a 30-by-20-foot area, local officials said. No one was injured in the incident, and a hazmat team used boom absorbents used to control oil spills to clean up about 20 gallons of butter from the canal. The environmental impact from this incident has been minimal, so far, the Wisconsin Department of Natural Resources said in a statement, but officials say butter spills can have negative effects.
“They liken the impact of the butter to petroleum products,” said Karim Jaroudi, Manager, Environmental, Burns & Wilcox in Ontario. “The odor is considered a pollution event, and there could be damage to plants and animals. Anything that enters the environment that is not indigenous to it is going to be considered a pollutant and has to be remediated. When a contaminant enters a waterway, that is an even-worse-case scenario.”
While the spill was 99% contained on site, it is the sort of accident that on a larger scale could lead to thousands or even millions of dollars in loss for the company responsible, said Timothy Donnellon, Senior Broker, Environmental, Burns & Wilcox, Charleston, South Carolina. Many food companies fail to purchase Pollution Legal Liability Insurance as they may not deem their products as pollutants but if insurance coverage or this kind was covered, it would pay for these costs versus the company absorbing them.
Food Spills can be Costly
Even if a food producer is not producing something that is deemed as a “pollutant”, many of their products may have by-products that if leaked into water systems, can be very hazardous. As a result, it is important that when obtaining commercial insurance, companies consult with a skilled and educated insurance broker. A broker with this knowledge would provide guidance on areas of this kind to ensure that the company is properly covered or at least notified of the importance of this coverage before they finalize their policy.
Finding a Knowledgeable Insurance Broker
For a business owner, it is so important to develop a relationship with an insurance broker that has experience and knowledge so they can bring that to the table when you are finalizing your policy. This makes all the difference in the world. We always hope that you never have to file a claim, but at least if you do, we want to ensure you are covered for any incidents if they do come about.
At Leaders Insurance, we have a team of skilled brokers in the commercial area. If this story makes you wonder what your policy includes, we welcome your call so we can review your existing policy and ensure you have pollution liability coverage. Don’t be left without the coverage you need, when you need it most. We take the time to understand your needs and can help you as you find what is right for you. We look forward to assisting you with all of your insurance goals and requirements. Contact Us today.