Home Insurance

BC does not impose a statutory requirement for homeowners to carry home insurance. However, if you have a mortgage, your lender will require proof of home insurance as a condition of advancing the loan and on every renewal. Verify specific lender requirements and policy conditions with your mortgage lender and insurance provider.

Standard BC homeowner policies typically cover perils such as fire, wind, theft, and burst plumbing. Flood, earthquake, sewer backup, and overland water are generally excluded unless you purchase those coverages by endorsement. Review your policy wording and discuss specific peril coverage with a licensed insurance broker or agent.

No. Earthquake coverage is excluded from standard BC homeowner policies and must be added by separate endorsement at an additional premium. BC is in an active seismic zone; verify current earthquake endorsement pricing and deductible structures with a licensed insurance broker.

Standard BC homeowner policies exclude flood and overland water damage. Some insurers now offer overland water or flood endorsements as optional add-ons (as of 2026-07-27 — verify current availability). Verify whether flood or overland water coverage is available, at what cost, and subject to what sub-limits with your insurance broker.

Insurers calculate the dwelling limit based on rebuild cost—the estimated cost to reconstruct the home—not the property's market value. Rebuild cost accounts for construction materials, labour, and building code upgrades, which can differ materially from market price. Verify your dwelling limit annually with your insurer or broker to ensure adequate coverage.

Mortgage lenders require proof of home insurance to be in force on the completion date (the day title transfers and the purchase price is paid) as a condition of advancing mortgage funds. Your lawyer or notary will confirm the insurer's binder or policy before releasing funds on closing. Arrange coverage before your completion date and provide proof to your lawyer or notary.

Yes. Many BC insurers apply higher deductibles—sometimes expressed as a percentage of the dwelling limit—for water-related claims, including sewer backup, if that coverage is added by endorsement. Standard all-perils deductibles (fire, theft) are typically lower flat-dollar amounts (as of 2026-07-27 — verify current). Review your policy's deductible schedule with your insurance broker.

No. Under the Strata Property Act, SBC 1998, c. 43, and the Strata Property Regulation, a strata corporation insures the building structure and common property, but individual owners must carry their own insurance for contents, improvements, betterments, and personal liability (often called 'strata unit owner' or HO-6 insurance). Verify coverage requirements with your strata council and insurance broker.

Personal liability coverage protects the homeowner if someone is injured on the property or if the homeowner causes property damage to a third party, subject to policy limits and exclusions. Standard BC policies often include $1,000,000 or $2,000,000 in liability coverage (as of 2026-07-27 — verify current). Verify your liability limit and consider an umbrella policy for higher exposures with a licensed insurance broker.

Yes. Insurers assess risk using the property's claims history, location, age, construction type, and the applicant's personal insurance history. A property with multiple claims—especially water or mold claims—may face higher premiums, coverage restrictions, or non-renewal. Verify underwriting criteria and available markets with a licensed insurance broker before purchasing a property with a known claims history.