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Apr 6, 2018
Flooding causes costly damage or even destruction of property. To protect your home, flood insurance coverage is a must for property owners.
Canada is known to insure losses from weather-related events. From 2009 to 2014, these were above $1 billion each year, and most of the losses were the result of water damage.
Water damage is one of the most costly repairs for a homeowner to pay for. According to The National Flood Insurance Program (NFIP), a 6-inch flood in a 2,000 square-foot home causes an estimate of $40,000 in damage costs. But with the right policy in place and flood coverage, you can avoid spending thousands to repair your home.
Floods occur as a result of weather-related events and natural disasters like excessive rainfall, snow runoff, landslides overflowing rivers and more. Sometimes it is impossible to predict when these events might happen. Even if you don’t live in a flood-prone area, there is still a risk of flooding.
The right insurance coverage can help any homeowners sleep at night knowing their largest investment is safe. A standard home insurance policy doesn’t cover flood damage. But flood insurance covers your home from any damages caused by water damage.
Insurance companies have different coverage options and requirements. Before choosing an insurance company, it is important to talk to a representative to make sure you are getting the appropriate coverage.
According to the Insurance Bureau of Canada (IBC), there are several occasions where flood damage is not covered. For example, home insurance policies normally cover burst pipes or water damage caused by hail, wind or debris. However, homeowners insurance has its limitations, leaving homeowners with the option of purchasing additional coverage.
For example, there are two instances when flood damage needs flood coverage: when freezing conditions cause accidental bursting of plumbing pipes and when overland floods cause the water damage. Another case where your claim might be denied is when you don’t have the required sewer backup coverage and you suffer from a flooded basements.
Here are some ways in which you can prepare your home before weather-related events happen:
Store personal and important documents in a safe space
Keep an updated home inventory
Create a home emergency plan and kit
Review your insurance policy before flood season begins
Check your home during weather heavy seasons to find potential flood risks
See Canada’s guide on being flood ready.
Basements are vulnerable to flooding, and as the snow melts when springtime comes, you have to be ready to waterproof it to prevent flooding.
Here are some things you can do to protect your basement:
Shovel the snow away from the foundation of the house
Clean your windows of ice and snow
Check the gutters in your home in case there are filled with ice or are frozen
Spot where the cracks are in your home’s foundation
Check your basement for dampness and musty smells as the weather warms up
It is always better to be prepared once the weather hits your home. Here are some tips you should follow once you are ready to start the claim process:
After you notice water damage, call your insurer right away.
Keep all receipts related to clean up and living expenses while your home is on repair.
Give all the necessary information and documents when filing your claim.
Create a database of damaged or destroyed items. Be sure to include proof of purchase, receipts, warranties, photos and anything that might provide information about them.
Before flood season begins, it is important to get the right coverage. Find an insurer that best suits your situation with Homicity.
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