We have seen an alarming increase in the number of floods in Ontario this year, which is why 2024 is being referred to as the summer of rain. With the effects of climate change and the challenges associated with the frequency of summer storms, we are seeing an increase in insurance claims and losses.
Roads, basements, and businesses have been hit hard with all the rain this summer. Last month, in mid-July, Toronto had one month’s worth of rainfall in one day, causing extensive damage to the city. While these events can be rare, they are still possible as we have already witnessed many times this season.
These rain storms have been reminiscent of the 2013 storms which caused massive flooding throughout the province, specifically in Toronto and Calgary. According to the Insurance Bureau of Canada (IBC), the Toronto flood has been listed as the 10th most costly natural disaster in Canada (measured by insurance payouts).
With the increase in rain and risk of flooding, what can Ontarians do to help alleviate the damage?
Floods 101
Flooding is an overflowing of water onto land that is normally dry. They can occur in any area, rural or urban, at virtually any time of the year when there is heavy or steady rainfall for several hours or days, oversaturating the ground. You don’t necessarily have to live beside a body of water to experience a flood-like situation.
Flash floods occur when heavy rainfall exceeds the ability of the ground to absorb it. They are the most dangerous because of the speed and intensity at which it can happen, limiting the time available to warn and protect the public.
Densely populated areas are at a high risk for flash floods. The construction of buildings, highways, driveways, and parking lots increases runoff by reducing the amount of rain absorbed by the ground. The runoff is what increases the flash flood potential.
Storm Preparedness
In Canada, floods are the most common and costly disasters in terms of property damage. And Ontario was hit hard this summer with a record amount of rainfall.
Here are some preventative measures for homeowners to floodproof their property to help alleviate the risk of flooding:
- Regularly clean and maintain downspouts and eavestroughs
- Keep the downspouts pointing away from the house
- Create a “river rock dry stream” that leads the downspout runoff away from the property completely and onto the road
- Install a backwater valve/sump pump in the basement
- Have a battery or generator backup if the power goes out, this is crucial in storms if there’s no hydro and the rain is still coming down
- Seal any cracks in walls, floors, windows, and the foundation
- Clear any debris from curbside grates to allow water to drain into a storm sewer
- Use impact-resistant materials on the roof (especially in a hail zone)
- Install flood shields/barriers for basement windows and doors that extend above ground level
- Keep water out of window wells
- Landscape with plants that resist soil erosion
- Add overland flood insurance and sewer backup coverage to your current policy
Improving your home’s flood resilience can make flood insurance cheaper in addition to reducing the costs of damage from future events. Home insurance providers may offer discounts on premiums for homes that are better equipped to withstand storm damage.
Navigating your Insurance
Knowing what your policy covers and taking precautions with preventative measures to your property is key to helping you navigate a flood situation successfully. Talk to your insurance advisor to review your policy and make sure it is adequate for your needs.
Flood-related insurance is not yet standard in homeowner policies, so experts recommend homeowners consider optional (additional) flood protection and be aware of the limits insurance companies place on claims.
For example, some companies may not pay more than $25,000 for any one sewer backup or flood claim, so it is important to know the limits and consider additional coverage. Not all water damage coverage is the same with every insurance company or within individual policies.
With recent events over the years, optional flood insurance is becoming more popular for homeowners across Canada, and more insurers are offering it. The 2013 storms prompted the industry to start offering overland flood coverage to homeowners who wanted to add it to their current policies.
Optional overland flood coverage covers specific kinds of damage, such as from overflowing lakes, ponds, or rivers, while water damage in a basement due to a sewer backup is only covered if you purchased specific optional coverage.
Water Damage Claims
If your home was damaged by flooding it’s important to assess, document, and take photos and start your claim as soon as possible. Report the damage to your insurance provider as soon as possible. Most companies have online claim submissions where you can upload photos and documents; this allows for instant claim creation, assessment, and faster response times.
Assess the damage with detailed notes and take photos (when it is safe to do so). Collect all the receipts, warranties, and proof of purchase of damaged items, and document all the items you have to throw out. If possible, remove undamaged goods and furniture to prevent further damage from occurring. It’s also important to keep receipts for cleanup at your home and/or for additional living expenses if you have to leave your property.
Peace of Mind
Homeowners are always encouraged to pay close attention to their insurance policies to ensure they are covered for what they need as extreme weather events become more common and flooding risks arise. Being informed and staying alert can be your best options when navigating a storm and the insurance process afterward.
Purchasing additional optional coverage can protect you financially and help protect your biggest asset. While it may increase your homeowner’s insurance, it will leave you with peace of mind knowing you are covered for unpredictable weather events.
