Top Causes of Home Insurance Claims in BC

May 11, 2026

Burst Pipes, Appliance Leaks & Plumbing Failures

Water damage remains one of the most common and costly sources of home insurance claims in British Columbia. While wildfires and weather events often dominate headlines, everyday plumbing issues, like burst pipes, leaking appliances, and failed plumbing systems, quietly account for a large share of residential insurance losses.

Understanding these risks can help homeowners prevent damage, reduce claims, and avoid unexpected out-of-pocket costs.

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Why water damage is such a big issue

Water is one of the most destructive forces in a home. Unlike fire or theft, it often starts small and unnoticed, then escalates quickly.

In BC homes, common sources include:

• Freezing and bursting pipes in winter
• Leaking washing machines, dishwashers, or fridges
• Failed supply lines under sinks or behind walls
• Aging plumbing systems in older homes and condos

Even a minor leak can lead to:

• Damaged flooring and drywall
• Mold growth within 24–48 hours
• Electrical hazards
• Structural weakening over time

1. Burst pipes: a winter risk in BC

Burst pipes are especially common in colder parts of British Columbia and during sudden temperature drops.

Typical causes include:

• Frozen water expanding inside pipes
• Poor insulation in exterior walls or crawl spaces
• Sudden pressure changes in aging plumbing systems

When pipes burst, water can release rapidly and flood multiple areas of a home in minutes.

Most home insurance policies cover sudden and accidental water damage, including burst pipes. However, damage caused by neglect or lack of heat maintenance may be excluded.

2. Appliance leaks: small failures, big losses

Household appliances are another major source of claims, especially:

• Washing machines
• Dishwashers
• Refrigerators with water lines
• Water heaters

A failed hose or internal seal can release continuous water unnoticed, especially if the appliance is located on an upper floor or near finished surfaces.

Coverage often applies to resulting damage, but not always to the appliance itself if the failure is due to wear and tear.

3. Plumbing failures: aging infrastructure matters

Many BC homes, especially older properties and strata units, still rely on aging plumbing systems.

Common issues include:

• Corroded copper or galvanized pipes
• Loose fittings or deteriorating seals
• Poorly executed DIY repairs
• Hidden leaks behind walls or ceilings

These issues often go undetected until visible damage appears.

Insurance impact:

• Sudden failures are typically covered
• Gradual leaks or long-term seepage may be excluded

4. Sewer Backup

Increasingly common in high-density urban areas like Vancouver, where aging infrastructure struggles with heavy rainfall.

5. Overland flooding

Overland flooding occurs when heavy rainfall or rapid snowmelt overwhelms drainage systems, causing water to flow over the ground and enter homes or buildings.

Many homeowners don’t realize that overland flood coverage and sewer backup coverage are optional add‑ons, not automatically included.

Why insurers focus so heavily on water damage

From an insurance perspective, water-related claims are:

• Frequent
• Expensive to repair
• Prone to secondary damage (especially mold)
• Difficult to detect early

As a result, insurers in BC often:

• Increase deductibles for water damage
• Require maintenance expectations
• Encourage leak detection systems
• Scrutinize prior claims history during renewals

How homeowners can reduce risk

While not all water damage is preventable, many common claims can be avoided with basic maintenance:

• Insulate pipes before winter
• Replace old appliance hoses every 5–10 years
• Install automatic shutoff or leak detection devices
• Inspect under sinks and behind appliances regularly
• Maintain consistent indoor heating in colder months

Small preventative steps can significantly reduce both risk and insurance disruption.