June 1, 2017
A new study titled, Canadian Voices on Changing Flood Risk, surveyed 2,300 people living in high-risk flood zones across Canada. It found 94 per cent of people surveyed didn't know their homes were at risk, and most have taken no action to protect their homes from floods. (*CBC Radio)
Craig Stewart, Vice-President of federal affairs for the Insurance Bureau of Canada, estimates that only 10 to 15 per cent of Canadians have overland insurance, which is offered as an add-on to insurance policies.
Stewart says that’s because it’s a fairly new product that wasn’t available prior to 2013.
Insurers started working on the overland flood insurance add-on after the 2013 severe flooding incidents in Toronto and Alberta, but it took time to roll the policies out. Stewart says the product has been available since late 2015.
The low uptake is likely due to the fact that most Canadians only interact with their insurance broker when the time comes to renew their policy.
“Most people are not aware that overland flood insurance is available,” Stewart says. “Therefore, unless they have been directly in a conversation with their broker or their agent at the time of renewal over the past year, they likely won’t have it.”
Talk to your insurance representative to make sure you have appropriate coverage. Be aware that:
*Information sited from the Insurance Bureau of Canada