Ways To Minimise Home Insurance Claims

Natural disaster claims in Canada have more than quadrupled over the past 15 years. In 2023 alone, the Canadian insurance industry paid out a staggering $3.1 billion due to natural disasters like floods and wildfires that ravaged the country. For Canadians, these escalating disasters have already led to higher insurance premiums and significant challenges in securing adequate protection for their homes and businesses. This situation threatens to create widespread economic ripples as rates continue to climb.

The Office of the Superintendent of Financial Institutions, which oversees the insurance industry, has formally recognized climate change as a systemic risk to the economy. This highlights that climate change is a shared responsibility. While insurance companies must demonstrate that their strategies and finances can withstand increasingly costly weather-related damages, Canadians can take proactive steps to help reduce claims caused by more intense rain, hailstorms, and wildfire risks. Even though we can’t control the weather, we can empower ourselves to make our homes more resilient to climate change, thereby lowering the probability of needing to file a claim after a weather event.

Ways To Minimize Home Insurance Claims Caused By Weather 

1. Cheap & easy: Follow these “Three Steps to Home Flood Protection”, developed by the Intact Centre on Climate Adaptation at the University of Waterloo.

Step 1: Maintain what you’ve got at least twice per year- Remove debris, Clean out leaves, Check for leaks, Test your sump pump, Clean out backwater valve. 

Step 2: Complete simple upgrades- Install window well covers, extend downspouts, Store valuable materials in watertight containers, and remove obstructions to the floor drain. Install and maintain flood alarms.

Step 3: Complete more complex upgrades- Install window wells, Disconnect downspouts, cap foundation drains and extend downspouts, Correct grading, install backwater valve, install backup sump pump and battery. 

Homeowners should undertake these steps twice a year, including removing debris from storm drains, cleaning eavestroughs, checking for leaks in plumbing and appliances, testing sump pumps and keeping backwater valves clean. 

2. Small investment & effort: For less than $250, window wells can be protected with covers, downspouts extended two meters from building foundations, valuables and hazardous materials stored in watertight containers, and flood alarms can be installed. 
3. Longer-term flood-fixes: For $250 and up, property owners can hire contractors to slope yards down away from foundations, add window wells that stick up 10 to 15 centimetres above grade and install sump pumps and backwater valves. 
4. Control the burn: To minimise fire risk, homeowners should reduce the effects of the wildland-urban interface by thinning out nearby trees and branches, removing dead limbs and brush to create a safety zone around buildings. Prune tree branches to at least 2.5 meters above ground, store firewood away from the house, and avoid combustible materials (wood chips) in landscaping. 
5. From the start: New buildings should be constructed using materials and methods that can best withstand regional weather risks, such as installing hail-resistant roofing, non-flammable siding and underground drainage systems that direct water away from foundations.

It is important to note that even with these measures taken care of, natural disasters are something we can’t avoid. Having the right home insurance in place is necessary for financial aid. A-Kan Insurance can help you find the coverage you need to protect your home and belongings. Compare and choose the best coverage for your needs.