IBC: Severe weather has caused insurance claims to surge in Quebec

IBC: Severe weather has caused insurance claims to surge in Quebec | Insurance Business

IBC: Severe weather has caused insurance claims to surge in Quebec

The Insurance Bureau of Canada (IBC) has reported that successive weather events have led to a significant increase in the number of P&C claims in Quebec for the first half of 2019.

Specifically, the bureau said in a release that the number of weather-related claims in the province for H1 2019 was up 63% from H1 2018. In response to this massive demand, some insurers had to rely on a measure authorized by the Autorité des marchés financiers (AMF) to allow out-of-province or retired claims adjusters to help process the claims.

For the first half of 2019, P&C insurers paid out total compensation of $292 million – up 165% from the same period last year.

IBC also offered a breakdown of the total compensation paid: $127 million went into paying for claims related to spring flooding in Quebec, while $165 million was paid for claims related to episodes of torrential rains, strong winds, and floods between January and March.

“Extreme weather events are becoming increasingly frequent as a result of climate change and the insurance industry is mobilizing to deal with this,” said IBC Quebec director of communications and public affairs Pierre Babinsky.

Babinsky added that the IBC is continuing its information and prevention campaigns to allow citizens to better understand the risks.