IBC welcomes federal commitment to better flood mitigation

JANUARY 16, 2015 (TORONTO) –  Today Public Safety Minister Steven Blaney announced changes to the Disaster Financial Assistance Arrangements (DFAA) and Canada's National Disaster Mitigation Strategy that include making $200 million available for flood mitigation projects.

"We welcome that this funding is now eligible for flood mitigation initiatives in Canada," said Don Forgeron, President & CEO, Insurance Bureau of Canada (IBC).  "We have seen how the world has changed in recent years and understand how severe weather events are hurting Canadian families. We also believe it is vitally important that the government work toward mitigating risks of earthquake in Canada.  Our industry's goal is to build a more resilient country."   

In 2014, insurers paid nearly $1 billion to policyholders for claims as a result of severe weather, according to Property Claim Services Canada (PCS-Canada).

"Prior to 2009, payouts to policyholders as a result of severe weather were not notable. Today, however, annual claims payouts of $1 billion or more is the new normal," Forgeron said. "In fact in 2013, which was a record-breaking year for insured damage as a result of serious weather events, insurers paid out $3.2 billion to policyholders. In that same year, insured losses for severe weather across North America hit US$19 billion, the highest of any region in the world."

As well as working with governments, IBC also advises individual Canadian consumers on ways they can adapt to the changing climate to keep their families safe and their properties secure.

The information about insured losses is from PCS-Canada. Subscribers can access detailed reports at www.pcs-canada.com.

For more information on how to protect yourself from severe weather, visit www.ibc.ca.

About Insurance Bureau of Canada

Insurance Bureau of Canada (IBC) is the national industry association representing Canada's private home, auto and business insurers. Its member companies make up 90% of the property and casualty (P&C) insurance market in Canada. For more than 50 years, IBC has worked with governments across the country to help make affordable home, auto and business insurance available for all Canadians. IBC supports the vision of consumers and governments trusting, valuing and supporting the private P&C insurance industry. It champions key issues and helps educate consumers on how best to protect their homes, cars, businesses and properties.

P&C insurance touches the lives of nearly every Canadian and plays a critical role in keeping businesses safe and the Canadian economy strong. It employs more than 118,000 Canadians, pays $6.7 billion in taxes and has a total premium base of $48 billion.  

For media releases and more information, visit IBC's Media Centre at www.ibc.ca. Follow IBC on Twitter @InsuranceBureau  or like us on Facebook. If you have a question about home, auto or business insurance, contact IBC's Consumer Information Centre at 1-844-2-ASK-IBC.