IBC issues storm notice for Atlantic Canada region

Ahead of an anticipated storm hitting the Atlantic Canada region soon, the Insurance Bureau of Canada (IBC) has issued a notice reminding residents of what they can do to prepare for the worst and minimize loss.

"As we've seen in previous years, heavy rain can cause extensive damage. Being prepared for any severe weather event is important for your personal and financial security," said IBC Atlantic vice president Amanda Dean. "We want to ensure that residents in Atlantic Canada are ready for the strong winds and heavy rains that are currently forecast for the region."

The bureau provided some tips for homeowners so that they can prepare for severe weather. These tips include creating an emergency preparedness plan for the entire household, moving valuables from the basement to higher levels, creating a home inventory, and checking if your homeowner’s insurance is adequate through an insurance representative.

IBC also offered reminders on the following storm-related insurance issues:

• Water damage in a basement due to a sewer backup is only covered if the homeowner purchased optional sewer backup coverage.
• Similarly, overland flood damage is only covered by specific, optional overland flood coverage – but the coverage may not be available to those living in known flood plains.
• Damage to homes caused by wind is usually covered by homeowners’ insurance.
• Comprehensive or all perils automobile insurance should cover for wind-related damage to cars, but it is an optional coverage.
• Homeowners unable to return to their properties due to damage are entitled to additional living expenses through their insurance.

Read more: Flood is still a "very complicated risk" for insurers – IBC

In a previous interview with CBC News, Dean said that floods remain “complicated” for insurers since they are still figuring out how to accurately assess the risk. She also noted that insurers have yet to create extensive risk mapping in terms of coastal floods, and that so far, only one insurer in Canada offers coverage for storm surges.