Home insurance across Canada is important, but Home Insurance still has some considerations to take into account. Today we’re going to take a look at everything you need to know if you’re looking for home insurance in British Columbia.
What makes British Columbia different?
Did you know that the coast of British Columbia is the highest seismic risk? British Columbia is also quickly becoming known, unfortunately, for its wildfires. Since April 2021, there have been over 1,200 forest fires in the province; the 10-year average 642, showing how much fire risk has increased in such a short time. If that’s not enough, Vancouver has some of the highest real estate prices in Canada. Although it is not considered a âriskâ, the impact on insurance is at the replacement value level. More expensive houses cost more to replace.
British Columbia is more risky for homeowners than those who live in many other provinces, which can make it difficult to obtain home insurance in British Columbia. However, we have several tips to make sure you get the coverage you need at a fair rate, whether you need home insurance in Vancouver or one of the smaller towns in the province.
Home insurance in British Columbia: what to cover
Unless your lender or landlord asks you to provide home or tenant insurance as part of their contract, home insurance is not required. However, it is very, very unwise to do without it. Few have the thousands, if not millions of dollars it takes to rebuild a house, pay for damage caused by a break-in, replace stolen items, or pay the fine for liability charges. Therefore, our first tip is to purchase insurance even if you own your home for free.
When looking for home insurance in Vancouver or any part of British Columbia, consider the following:
- Replacement Value: This is not the market value of your home. This is the cost of getting your home back to where it was before the loss. Most insurance companies in Canada will automatically move towards market replacement.
- Content: Content coverage is capped. Therefore, if you have expensive items such as musical instruments, movie equipment, sports equipment, or a wine collection, you need an additional endorsement. A driver is like an optional add-on. It allows you to customize your font according to your needs. In this case, if you lived in a small house and did not have additional valuables, there is no need to pay extra; your content coverage may be sufficient. If, however, you live in a more affluent neighborhood and own jewelry or artwork, you should consider a content endorsement.
- Seismic Coverage: Those who live in British Columbia should seriously consider seismic cover. This may not automatically be included in your policy. He can only be available as a rider. Check with your insurance company and take a good look at your policy. You don’t want to find out that you don’t have this coverage when it’s too late.
- Liability: Being sued can cost you money. Liability comes into play when you fail to exercise due care and attention to the people entering your property. If your driveway is covered in ice and the delivery guy is slipping, you could be held responsible. If your pool is not fenced and someone walks into your property and drowns, you could be held responsible. If your dog is aggressive and bites a guest, you could be held responsible.
- Living expenses: Most insurance policies provide a living allowance so that you can rent accommodation or stay in a hotel if your accommodation is uninhabitable due to a risk covered by the policy. This does not mean that you can claim the living allowance if you want to move out during a renovation – it is only for insurance purposes. Coverage and length of stay are capped. Understand the limits and let them guide your decision on where to stay. A lavish hotel can quickly eat away at the profits, leaving you surfing your couch while your house is fixed.
Home insurance in British Columbia: average costs
There is no average cost of home insurance in British Columbia because every policy is different. The size of the house, the location, the endorsements needed, the value of the contents, whether a mortgage is in place – there are so many factors that affect home insurance in British Columbia. Rather than researching the average cost to fit into your budget, there’s a better way to find out how much your home insurance will cost. If you are looking for insurance quotes in Canada, we can help.
Our solution for you is to use a broker and online comparison tools. A broker studies the market for you, based on your needs, and then compares all of your viable options. Online comparison tools do the same, allowing you to quickly enter your criteria and then compare rates from various providers. Most online tools can quickly connect you to a broker if you start your search online.
Your home is a huge asset in your portfolio, and your content, no matter how small, is valuable. Even if you’re thrifty, replacing your clothes and kitchen items comes at a cost. When you delay getting home insurance in British Columbia, you put yourself at unnecessary risk and heartache. To make sure you get the right coverage that takes into account the additional risks of earthquakes, wildfires and the cost of real estate in British Columbia, work with a broker.
Brokers perform a needs assessment with you so that they can fully understand your current and future needs. Then, they go through the many options available, comparing coverage and your budget. They find and present your best solutions and describe the policies and their conditions.
To find the home insurance you need in British Columbia, start with a broker. Click on here to learn more.