Insurance Firms Respond To 2013 Record Alberta Floods Even If Harper Doesn't - 20% Rate Hikes
EDIT
Nobody is immune from floodwaters, said Jeff Burke, chief executive officer of Western Financial Group, a property and casualty insurer headquartered in High River, Alta. Mr. Burke and his employees have been watching the weather with trepidation ahead of the anniversary. The company has yet to move back into its downtown office, which was badly damaged in the flood. Theres a lot of talk going on about rates, but the rate increases and the changes in coverage weve seen are not only resulting from the flood, but also the more frequent and severe climate change that is reality now, he said.
Flooding is Canadas most common weather hazard, and last years floods in southern Alberta resulted in $1.72-billion in insurance claims paid, according to data collected by the Insurance Bureau of Canada.
Combined with the $943-million in payouts insurers paid to cover damages from the July flooding in Toronto last summer, the insurance industry sustained the highest level of losses from catastrophic events in Canadian history at about $3.4-billion.
Insurers responded by adjusting their property coverage. Intact Financial Corp., the countrys largest property and casualty insurer, raised rates by as much as 20 per cent, increased deductible amounts and provided financial incentives for customers willing to take preventative measures to limit possible damages. The company also capped the coverage it provides for sewer backup damages, and customers can now purchase different levels of coverage depending on their needs.
EDIT
http://www.theglobeandmail.com/report-on-business/floods-prompt-insurers-to-call-for-catastrophe-protections/article19253018/