How much insured damage did the Western Canada deep freeze cause?

How much insured damage did the Western Canada deep freeze cause? | Insurance Business Canada

Catastrophe & Flood

How much insured damage did the Western Canada deep freeze cause?

Initial estimate revealed

Catastrophe & Flood

By
Terry Gangcuangco

Initial estimates are out for January’s deep freeze in Western Canada.

Citing data from Catastrophe Indices and Quantification (CatIQ), the Insurance Bureau of Canada (IBC) said the event is estimated to have caused more than $180 million in insured damage. CatIQ provided the estimate under licence to IBC.

It was noted that the deep freeze brought about four straight days of temperatures ranging from -40 to -45 degrees Celsius in places like Edmonton.

“It’s been an unusual winter season, with extreme swings in conditions across the country,” IBC national director for consumer and industry relations Rob de Pruis said.

“In January, British Columbia, Alberta, and Saskatchewan experienced an extreme cold weather event that led to widespread water damage caused by frozen and burst pipes.

“Based on total claims counts, approximately 70% of all claims related to this extreme cold event were personal property claims.”

Meanwhile, policyholders were reminded about cover limitations and requirements, as well as about the importance of checking with insurance representatives to avoid lapses in coverage.

The national director went on to say: “As the frequency and severity of weather events continue to increase in Western Canada, so too do the financial costs borne by insurers and taxpayers.

“We all must do better to protect ourselves from loss or damage resulting from natural disasters, which continue to have an outsized impact on the most vulnerable.”

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