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Media Releases 2009

June 2, 2009

Insurance Bureau of Canada reminds B.C. homeowners: Make sure you're covered before forest fires strike

Vancouver, BC – June 2, 2009 – British Columbia is already experiencing the hot and dry weather more common in summertime, and with interface fires having already affected some structures, Insurance Bureau of Canada is reminding B.C. homeowners to check their insurance coverage now, rather than waiting until forest fires are threatening their communities.

“Every time disaster strikes we hear of homeowners caught either without insurance or without adequate insurance,” said Lindsay Olson, Vice-President, B.C., Saskatchewan and Manitoba, Insurance Bureau of Canada (IBC). “Don't wait until the fire is roaring down the hill. Understanding your insurance is a year-round task, not just when there's a crisis. Call your insurance professional to ensure that you have the right coverage and the right amount of coverage.”

During natural disasters, such as wildfires, insurance companies may have temporary restrictions on taking on new business, making the instant purchase or upgrading of insurance exceptionally difficult.

These same factors could also slow real estate transactions during a state of emergency, potentially affecting realtors and those looking to buy or sell a home.

“In these situations, new policies are provided on a case-by-case basis. In general, it will greatly increase the amount of time it takes to obtain insurance,” explained Olson. “Having some flexibility in the closing date will be important for all concerned and will eliminate the pressure of these deadlines.”

Olson stressed that insurance companies will continue to renew existing policies even during a state of emergency, just as they did during the historic fires in 2003. Canada's insurers will also be there to promptly deal with all claims.

“Our industry regularly steps in to help British Columbians recover from insurable losses arising from natural disasters. It did so in 2003 by paying more than $200 million in claims, in 2006/07 by paying more than $150 million, and again this past winter when severe weather triggered $83.7 million in claims payments. Homeowners could help themselves now by checking their insurance, and taking steps to mitigate the risk to their homes and property.”

For more information on preventing fire around your home, visit the
Provincial Emergency Program, Government of British Columbia website.

Insurance Bureau of Canada is the national industry association representing Canada’s private home, car and business insurers. Its member companies represent nearly 95% of the property and casualty (P&C) insurance market in Canada. The P&C insurance industry employs over 110,000 Canadians, pays more than $6 billion in taxes to the federal, provincial and municipal governments, and has a total premium base of $38 billion.

To view news releases and information, visit the media section of IBC’s website at www.ibc.ca.

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