Whereas the Province of BC faces the worsening effects of climate change, the disasters resulting in significant costs to rebuild homes and farms; And whereas many residents and properties impacted by wildfire are located in rural, unincorporated areas outside of fire protection with these residents reporting that trying to obtain insurance has been met with refusal by insurance providers; And whereas wildfire is considered to be an insurable event and therefore not eligible for Disaster Financial Assistance: Therefore be it resolved that UBCM ask the Province to commit to working with the Insurance Brokers of Canada to ensure it is a legislative requirement that all insurance providers denying coverage provide a letter outlining the reasons insurance is being denied.
Ministry of Emergency Management and Climate Readiness Ministry of Finance Climate change is increasing the frequency and severity of wildfire seasons in BC. People should have the peace of mind of being able to insure their home, no matter where it is. Coverage for fire damage is a standard component in insurance policies, but new policies can be difficult to obtain before an imminent wildfire, or during or immediately after a wildfire. Outside of active wildfire events, basic home insurance policies, inclusive of fire protection, are widely available throughout the province. Residents in areas with higher wildfire risk can access resources, such as the provincial FireSmart program and the BC Forest Safety Councils Wildfire Preparedness Guide, to help safeguard their properties. Both individual and community initiatives aimed at enhancing fire prevention and resilience can reduce risk exposure, which in turn supports more insurance availability and affordability. Disaster Financial Assistance DFA is available for large-scale, uninsurable events. Following a major event, in determining whether DFA applies, the Ministry of Emergency Management and Climate Readiness works with industry partners to assess whether insurance was reasonably and readily available. As the insurance industry adapts to the growing number of climate-related losses, the Province continues to monitor the insurance market. Any substantial government intervention in the insurance sector requires prudence, as it can alter market conditions and produce unforeseen effects, including reduced competition, rising costspremiums, and limited coverage options. Those experiencing challenges in securing coverage may consider reaching out to a local insurance broker who can review available options in the community. Additionally, the Insurance Bureau of Canada can provide support by assessing the situation and suggesting possible solutions.