Canada is still in its early, formative years of flood insurance.
Following the Toronto drenching and Calgary submersion, both in 2013, it became clear that Disaster Recovery Assistance from the Federal government, combined with non-homeowner flooding insurance, wasn’t enough cover in the 21st century’s climate.
Learn more about flooding insurance here.
“In 2015,
Aviva was the first insurer to offer overland water insurance to homeowners. Since then, a few other insurers have introduced similar insurance coverages,” Barry Owen,
Aviva Canada’s assistant vice president of personal lines propositions said.
The evolving nature of the industry makes the Flood Risk Summit, brought to you by
Aviva Canada, all the more aptly timed.
Find out how you can attend the Flood Risk Summit now.
“What’s great about this change is that Canadian homeowners not only have this coverage available to them, they also have the option of choosing from several carriers to customize it to their needs. Even though it’s just been a few years, the experience gained is helping us to improve and refine our offering to customers,” Owen said.
Unlike those in the US or UK, Canadians are still finding their feet when it comes to homeowner flood insurance.
The reasons are somewhat muddied by the role of the Federal government, a lack of flood maps and the more extreme environment.
“There isn’t anything we can do about the unpredictability of the seasons, which is why it’s so important that brokers help their customers understand what they could be exposed to and assist them with choosing the right coverage for their needs,” Owen said.
“Brokers now have several markets offering flood insurance, but not all products are created equal, so they need to understand the differences.”
The UK founded a nationally pooled system of insurers backed by government called Flood Re in 2016, which has proven popular in the country.
South of the border, America’s indebted National Flood Insurance Program sees a regular barrage of criticism and calls for total privatization on a regular basis.
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“Countries like the UK have taken an interesting approach to sharing the responsibility of insuring this type of risk,” Owen said.
“The responsibility should not fall on just one body – everyone has a part to play in this growing concern. Aviva is happy to participate in the discussion where we can bring valuable insights from our experience, share and explore various options for a solution,” Owen added.
Owen told Insurance Business that looking outside the industry is what he’s looking forward to the most about the flood conference.
“(We’re) excited about the opportunity to exchange and share thoughts, perspectives, ideas and challenges at the Flood Risk Summit,” he said.
“It’s especially important for us to understand how other stakeholders, not just insurers, are experiencing and addressing flood risks. It’ll be exciting for us to learn and share ideas with all stakeholders.”
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