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.

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.

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.