How Outside Storms Can Affect Ontario Insurance

How Outside Storms Can Affect Ontario Insurance

Hurricanes and other severe storms such as what tragically happened in Florida, may not seem like a far-off issue for some Ontario residents, but the impact can extend beyond the areas of devastation.  Understanding the global weather patterns and insurance markets is important for consumers in Ontario. Here is how outside storms can influence insurance at home.

1. Increased Risk Coverage Expenses 

Insurance companies often rely on reinsurance to spread the risk of major claims resulting from devastating events such as hurricanes. Even if Ontario is not directly hit, insurance companies may need to adjust their pricing to cover potential future risks and rising costs.

2. Risking Claims from Storm-Related Damage

While Ontario may not experience the full force of hurricanes, we can be affected by their secondary effects. Hurricanes often push weather patterns northward, which can lead to heavy rains, windstorms, or flooding in Ontario. This increased intensity of weather-related claims (https://www.sutherlandinsurance.com/report-a-claim/) may result in higher insurance costs for property owners. Flooding, in particular, has become a significant concern as extreme weather events become more common.

3. Climate Change and Risk Assessment

Severe storms can serve as reminders of the broader issue of climate change. As climate change often influences weather patterns, insurance companies are reassessing risks in all regions, including Ontario. Extreme weather causing higher risks may lead to adjustments in policy including deductibles or exclusions for certain types of damage.

4. Preparedness and Coverage Gaps

Severe weather gaps can highlight the importance of adequate insurance coverage. Homeowners and business owners in Ontario should consider how weather events in other areas could influence their own insurance needs. Things to think about include your current policy having flood insurance or coverage for wind damage. Reviewing your policy with one of our knowledgeable insurance brokers can assist in helping you ensure you are prepared for unexpected.

What you can do to protect yourself: 

To mitigate potential impact of outside storms on your insurance, it’s essential to stay informed as well as proactive. Here are a few steps you can take.

• Review your coverage regularly: Ensure your property and possessions are properly covered in the event of weather-related damage.
• Consider flood insurance: Flooding is not always covered by standard home insurance policies, so considering this coverage if you live in a flood-prone area could be beneficial.
• Work with an insurance broker: Our licensed sales brokers can assist you in understanding how global weather events might affect your premiums and coverage options. This in turn helps you make informed decisions about your insurance.

While Ontario may seem far removed from the hurricanes and severe storms that strike other parts of the world, these events may still have a large impact on your insurance here. By staying informed and working with one of our experienced licensed sales brokers, Ontario residents can ensure they are prepared for any potential changes in their insurance.

If you’re interested in reviewing your policy or learning more on how to protect your home from extreme weather, contact Sutherland Insurance today. We’re here to help you stay protected, no matter the storm.

The content provided in this article is for informational purposes only.