How to Combat Rising Costs of Home Insurance

The total cost of the recent flooding in southern Alberta has topped over $6 billion, plus the enormous expense of previous weather-related disasters  over the past several years have made homeowners concerned about the cost of home insurance. Providers are currently doing all they can to help offset costs, but working with an insurance broker is your best bet to get ahead of the trend.

When it comes to group, auto and home insurance, Calgary residents and businesses have relied on Bow Valley Insurance for over 35 years. With access to several leading providers, our brokers work for you – not an insurance company – and our promise is to find you the best coverage at the lowest possible rate. We are happy to provide free rate comparisons for you to see the difference for yourself!

Home Insurance Calgary: What Is Considered a Catastrophe & How Does It Affect Insurance?

A catastrophe is defined as a natural disaster that causes over $25 million in claims against insurance companies. During the last decade, approximately 785 catastrophes occurred globally.

In Alberta (as in many other areas of the world), storms are increasing in frequency and intensity, and hail and wind storms have caused millions of dollars in damages. Put simply, Alberta has weathered many storms, suffered extensive losses, and many claims have been filed against insurance companies in the province. Home insurance in Calgary is the topic of a lot of conversations, and there are some simple things you can do to help keep your home insurance rates as low as possible:

  • Cover the cost of minor repairs yourself – remaining claims-free often earns you a discount on your home insurance.
  • Speak with a broker to determine whether you can implement sub-limits on certain perils.
  • Increase your deductible amount. When weighing the options for your deductible, work with a broker with experience to select the amount that’s right for your individual circumstances.
  • Engage in loss prevention. Investing in sump pumps and back-flow valves to protect your home from sewer and water damage as well as devices to protect it against burglary and fire damage will often lower your premiums either directly, by discount, or by preventing and minimizing losses.
  • Avoid using wood or other solid fuels as the primary and/or auxiliary heating source for your home – those using solid fuels tend to have more fires and file more claims, resulting in higher insurance premiums.
  • Review your Coverage Summary and Customer Information pages with a broker to make sure all the information is correct and look for ways you might be able to save.
  • Statistically, those who live in the same home for longer periods make fewer claims. Make sure your insurance provider gives you credit for your stability.

Home Insurance Calgary: Beware of This Common Mistake

Never reduce your coverage without seeking the advice of an professional. It’s important to protect your investment with adequate home insurance! Calgary homeowners should go over their policy with an experienced broker who can re-evaluate their risks and coverage annually. Remember that your home insurance policy should accurately reflect the current replacement value of your home.  

Home Insurance Calgary: Bow Valley Insurance

Our Home Evaluation Form can assist you in establishing the base coverage you require for your home. Request a free online home insurance quote, or else feel free to contact us if you have any questions.