Global Weather Change and Property Insurance

A year ago a gentleman who has forgotten more about insurance than I am likely to ever know told me that we will see Home/Property Insurance premiums begin to rise along with claims (mainly due to extreme weather)  and Auto Insurance Rates start to slowly fall (due to vehicles becoming more autonomous).

I’m not writing this to annoy naysayers or start a conversation about what we can do to slow down or reverse climate change.  I’m writing this to give you an explanation as to why your Property/Home Insurance premiums can be expected to rise and why.

Each day our office receives calls about increases in the cost of insurance for homes, cottages and property in general.  There are of course a number of reasons ranging from your building’s updates for the roof, heating,  plumbing wiring to the structure’s age, location and state of repair not to mention the communities’ infrastructure.

More recently due to more severe weather and weather extremes Sewer Backup and Flooding have come to the forefront.   Adding Moisture Alarms, Sump Pumps and backups, upgrading the hose for your dishwasher and clothes washer also help with your rates and you (depending upon the company).

If you are still doubting consider the following  WMO (World Meteorological Organization) statistics for 2016:

  • Global Ocean Heat at second highest in history because of this Coral is bleaching and sea life dying
  • 2016 was the warmest on record 1.1C above the preindustrial period.
  • Carbon Dioxide reached new highs in the atmosphere in 2016
  • Global Sea Ice is 4 billion Square Kilometres below average
  • Global Sea Levels Rose to new record highs
  • More Severe droughts and floods than in the past

For more information visit:

Still doubting my explanation and feeling Insurance Companies are looking for a cash grab?  Well how about this:

Last month, the National Research Council told Global News that Canada’s national building codes are being updated to adapt to the effects of climate change

If you haven’t been directly affected by a more extreme weather pattern count yourself among the lucky but be advised that now is a good time to prepare and understand what is happening. 

Wishing you all a wonderful Spring.