What Are the Top Home Insurance Claims?

June 26, 2023

Home insurance helps protect you from the unexpected. The most common home insurance claims in Canada usually depend on where you live, weather patterns, and individual circumstances.

Here are 7 of the most common home insurance claims in Canada:

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1. Water damage

Water damage can be caused by burst pipes, plumbing leaks, watermain breaks, appliance overflows (such as washing machines or dishwashers), or heavy rainfall.

Most home insurance policies provide some level of protection for water-related damage.

Did you know that “dirty” water damage is not usually covered by home insurance?

Water entering your home from sewer lines, drains, septic systems, eavestroughs, or downspouts is considered “dirty water” and is typically excluded from standard coverage.

You can add sewer backup coverage to your home insurance policy. Overland flood insurance may also be available, though it is not always offered in high-risk areas.

2. Wind and hail damage

Canada experiences severe weather, including strong winds and hailstorms, which can damage roofs, siding, windows, gutters, and other vulnerable parts of a home.

Most home insurance policies cover wind and hail damage, helping with repair or replacement costs. Some policies may apply separate deductibles for wind or hail claims.

Your policy may cover some hurricane-related damage such as wind damage, but it typically does not cover flooding.

Most home insurance policies include coverage for damage caused by hailstorms.

3. Sewer backup

A sewer backup may be caused by:

• Aging sewer systems
• Heavy rainfall or rapid snowmelt
• Broken sewer pipes
• Blockages
• Sump pump failure

Sewer backups can cause extensive damage to basements, including floors, walls, and personal belongings, and may lead to mold growth.

Basic home insurance does not typically cover sewer backup damage.

Sewer backup coverage can be added to your home insurance policy. Ask your Western Coast Insurance expert if this coverage is right for you.

4. Fire and smoke damage

One of the most common emergencies faced by Canadians is a fire in their home .

Home insurance policies typically cover fire and smoke damage, provided the fire was not intentionally set (arson).

This coverage usually pays to repair or rebuild your home and replace damaged belongings, up to your policy limits. Kitchen fires, lightning strikes, gas leaks, and faulty appliances are common covered causes.

5. Break-ins and theft

Most home insurance policies cover theft, break-ins, and burglaries.

Your policy will typically reimburse you for stolen items and cover repairs for damage caused during the incident.

Installing a security system may also help reduce your home insurance premiums — ask your insurer about available discounts.

6. Trees

In most cases, home insurance covers damage caused by fallen trees.

This includes repairs to your home and, if needed, additional living expenses such as hotel stays and meals while repairs are completed.

Your home insurance generally applies regardless of which side of the property line the tree came from.

If a neighbour’s tree falls on your home due to fire or weather-related events like wind, lightning, ice, or snow, your home insurance should cover the damage.

7. Liability claims

Accidents happen. If someone is injured on your property or their property is damaged, you could face a liability claim or lawsuit.

Most experts recommend at least $1 million in liability coverage on your home insurance policy, though $2 million or more is often advised and typically adds little cost.

Review your liability limits regularly and consider increasing them if you frequently host guests or have higher-risk features on your property.

Ask your Western Coast insurance expert to review your coverage with you.

Home Insurance Claims Tips

• Contact your insurer as soon as possible to begin the claims process.
• Maintain a home inventory with photos or videos to simplify claims.
• Be thorough when getting repair estimates and include damaged contents.
• Keep records of all communication with your insurer.
• Get quotes from independent contractors for comparison.
• Ensure you receive a fair settlement to repair or replace your home and belongings.