Homeowners in Alberta's highest-risk hail areas who install hail-resistant roofing and siding can cut their home insurance premiums by up to 50%, according to a study by MNP LLP for the Insurance Bureau of Canada (IBC).
The study found that hail accounts for between 30% and 68% of the total homeowner's premium in high-risk areas, with the risk highest in and around Calgary.
The savings go beyond price. Homeowners who adopt hail-resistant materials can also secure lower deductibles, have coverage caps removed or reduced, and gain wider access to full replacement cost cover on roofs. Older roofs may otherwise be covered only for actual cash value, meaning their depreciated value.
The study also found that an increasing number of insurers now offer financial support to help homeowners install resilient roofing and siding after a claim.
"The frequency and severity of hailstorms in Alberta are on the rise, and so are the numbers and costs of insurance claims in the province," said Aaron Sutherland, IBC's vice-president, Pacific and Western. "In response to these trends, we've seen a dynamic shift in how the insurance industry is structuring its products to reward policyholders who make practical investments in hail-resistant materials by offering them reduced insurance costs and improved coverages."
Hailstorms have caused $6 billion in insured damage in Alberta over the past five years. A single storm in Calgary in 2024 caused more than $3 billion in damage, making it the second-costliest natural disaster in Canadian history.
MNP found that hail cover remains widely available in the province. However, the growing risk, frequency and cost of severe hail events have led to coverage changes and higher premiums, which explains why hail now makes up such a large share of the total premium in high-risk areas.
For brokers with clients in Calgary and surrounding areas, the findings turn roofing into a coverage question as much as a construction one. The age and material of a client's roof can determine whether a claim is settled at replacement cost or actual cash value, what deductible applies and whether any cap limits the payout.
The study points to three practical steps. At renewal, brokers can ask carriers what premium credits and coverage improvements they offer for resilient roofing and siding. They can check whether older roofs have been moved to actual cash value settlement. And after a hail claim, they can find out whether the insurer will contribute towards upgrading to resilient materials rather than a like-for-like repair.
IBC used the study to renew its calls on all levels of government. It urged them to mandate hail-resistant materials in all new construction in high-risk areas, to provide financial support for homeowner retrofits, and to support municipal investment in community resilience. It also called for Calgary's Resilient Roofing Rebate Program to be revived and for better hail warning services, so residents can move vehicles out of harm's way before a storm.
"Alberta's insurers are focused on being part of the solution to reduce the frequency and severity of hail damage in the province," Sutherland said. "Building more resilient homes and communities will not only better protect Albertans, but it will also save money moving forward."
