Go to Main Content

Advertisement

By Special to MoneySense on January 8, 2014
Estimated reading time: 1 minute

Insurance premiums likely to rise as providers pay up for massive storms

By Special to MoneySense on January 8, 2014
Estimated reading time: 1 minute

Monthly payments are already up 15% to 20% in some cases as insurance company brace for more bad weather in the years to come

This article is 10 years old. Some details may be outdated.

Advertisement

TORONTO – Home owners should prepare to pay more for property insurance as the severe weather trend that has battered the country during the past year is expected to continue. Experts say that as insurance companies are forced to pay out more policies to cover storm damage, there are likely to be increases to premiums and to the way insurance is sold. Intact Financial Corp., one of Canada’s largest property and casualty insurers, says it has raised premiums by 15 to 20 per cent during the past few months as catastrophic losses and weather-related claims have risen. The company has also introduced peril-based pricing and changes in the products, and is increasing its push to educate customers on how to limit the impact of storms. While it’s still too early to say how much the deep freeze that enveloped much of eastern Canada and the U.S. northeast during the holiday season will cost, the Insurance Bureau of Canada says it’s part of a trend of severe weather that shows no sign of slowing down. The organizations says that weather damages in 2013 cost the industry $3 billion — the largest payout after years of costs in the one to two billion dollar range.

Comments Cancel reply

Related Articles

Two smiling men bump fists while playing wheelchair basketball

Canada Disability Benefit news, updates and how to apply

Applications for the new Canada Disability Benefit are open. Here’s how Canadians can apply for this long-awaited disability support...

Canada Disability Benefit news, updates and how to apply

Stock news for investors: Groupe Dynamite and Empire Co. release earnings

Good news for Canadian investors in these apparel and grocery companies, as both report higher earnings and sales.

Stock news for investors: Groupe Dynamite and Empire Co. release earnings

A magnifying glass enlarges the holographic image of Parliament Hill's Peace Tower on a 20 dollar bill issued at the Bank of Canada Museum in Ottawa on Wednesday, Sept. 4, 2024

When is open banking coming to Canada? Ottawa says “at the earliest opportunity”

Progress on open banking legislation has been slow. Here’s the latest news, plus which Canadian bank is already moving...

When is open banking coming to Canada? Ottawa says “at the earliest opportunity”

Is Canada in a recession?

If you’re worried about a recession in Canada, you’re not alone. Here’s what to expect and how you can...

Is Canada in a recession?

Muskoka chairs sit on a dock looking over Boshkung Lake, in Algonquin Highlands, Ont., Monday, Oct. 5, 2020.

Co-ownership is making Canadians’ cottage dreams more affordable

Want to buy a cottage but you’re priced out of the market? Co-ownership could be the answer. Here’s what...

Co-ownership is making Canadians’ cottage dreams more affordable

Crypto shows off its newfound political might

Largest U.S./Canadian crypto exchange adds top Democratic strategist, continuing to broaden political reach.

Crypto shows off its newfound political might

People attend a job and continuing education fair in Montreal on Thursday, Oct. 5, 2023.

Ottawa to expand the Canada Summer Jobs program for youth

Government to offer more subsidies to employers as one in five students struggles to find summer employment.

Ottawa to expand the Canada Summer Jobs program for youth

A Canadian woman banking on her laptop at home.

Is Wealthsimple a bank? Not exactly, but it’s launching new “banking” services

Wealthsimple is flexing against Canada’s big banks. Here’s how it plans to get your business.

Is Wealthsimple a bank? Not exactly, but it’s launching new “banking” services

A worker on a ladder works on the exterior of a new home under construction.

Here’s how much a GST break could save first-time home buyers

First-time home buyers in Canada could save hundreds on monthly mortgage costs through the federal government’s plan to waive...

Here’s how much a GST break could save first-time home buyers

Canadian couple in their first home happy the BoC held its rate.

Making sense of the Bank of Canada interest rate decision on June 4, 2025

Making sense of the Bank of Canada interest rate decision on June 4, 2025