Rethinking Basement Usage: Allstate Canada Data Reveals Water Damage Among Top Claim Reasons

Homeowners should consider how they are protecting valuables in their basement

Brisbane, CA (May 9, 2023) – Basements have evolved from mere storage spaces to integral parts of many homes, now equipped with state-of-the-art entertainment systems, expensive gym equipment and valuable furniture. However, these spaces remain highly susceptible to flooding, potentially leading to costly repairs. Recent data from the Insurance Bureau of Canada highlights 2024 as the most expensive year for severe weather-related losses in our country’s history, with flooding contributing to over $1 billion in losses.

In fact, Allstate Insurance Company of Canada (Allstate Canada) data reveals that water damage is one of the top reasons customers submit a home insurance claim, and the cost to repair a water-damaged basement rose by nearly 20 per cent from 2019 to 2024. According to a recent Léger poll conducted on behalf of Allstate Canada, 80 per cent of Canadians who responded have a basement and one in 10 have experienced basement flooding. The survey also revealed that 61 per cent of responding homeowners have a bathroom, sink or access to running water in their basement, and 55 per cent use their basement to store a spare fridge or freezer. Additionally, 47 per cent have a bedroom, 30 per cent have a home gym or workout area, 23 per cent installed a home theatre system, 20 per cent a home office, and 25 per cent say their basement has a playroom for their children.

While Canadian homeowners use their basements in different ways, the results of the poll also show that:

• 41 per cent use their basements to store expensive sports gear such as skis and bikes;
• Nearly one in three (32 per cent) store home entertainment equipment in their basement;
• Basements are also commonly the site for priceless possessions, such as photo albums (40 per cent) and family heirlooms (24 per cent);
• Other items stored in the basement include tools, extension cords and lightbulbs (65 per cent), seasonal items like patio furniture or holiday decorations (59 per cent), furniture (51 per cent), collectibles or memorabilia (31 per cent), important financial, legal or tax documents (28 per cent), computer equipment (23 per cent) and musical instruments (15 per cent).

Rethinking Home: A New Era for Basements

“Kitchens are often a central, social part of the home, but basements play an important role as a space to relax with hobbies, store gear between adventures, or to simply unwind,” says Odel Laing, Agency Manager at Allstate Canada. “Homeowners should consider how they can protect these valuable spaces from flooding, which can quickly affect plans as we approach the spring season.”

Protection and Remodeling Tips

Flooding typically occurs during warmer weather months, so Laing invites homeowners to consider taking steps to protect their basement and its contents.

• Elevate high-quality, expensive entertainment systems on stands or hang them up on the wall. Alternatively, keep them on the main floor, if possible.
• Swap cardboard boxes for plastic ones for storage.
• Select waterproof cabinetry and shelving.
• Review your home insurance policy to understand your coverage for water damage.
• Consult a professional about landscaping opportunities to direct water away from the home’s foundation.
• Install water or leak detectors compatible with your monitored home security system to notify owners of flooding quickly.
• If owners are planning to finish or renovate their basement, discuss with your contractor how to best protect from flooding risks.

Visit the GOOD HANDS^® blog for 11 Practical Tips to Protect Against Flooding Damage and more home flooding-related safety advice.

About the Léger poll

Allstate commissioned Léger to conduct a study among Canadian homeowners to better understand their use of basements, storage habits, flood prevention measures, and overall preparedness for extreme weather events. In order to meet research objectives, an online survey was conducted with 1,000 Canadian homeowners, aged 18 and over, who could express themselves in French or English from January 23 to 27, 2025. It should be noted that due to the non-probabilistic nature of the sample (associated with any web survey), the calculation of the margin of error does not apply. For comparative purposes, a probabilistic sample of 1,000 respondents (web panel) would have a global margin of error of ± 3.1% 19 times out of 20. The margin of error would, however, increase for subgroups.

About Allstate Insurance Company of Canada

Allstate Insurance Company of Canada is a leading home and auto insurer focused on providing its customers prevention and protection products and services for every stage of life. Serving Canadians since 1953, Allstate strives to reassure both customers and employees with its “You’re in Good Hands®” promise and is proud to have been named a Best Employer in Canada for nine consecutive years. Allstate is committed to making a positive difference in the communities in which it operates through partnerships with charitable organizations, employee giving and volunteerism. To learn more about Allstate Canada, visit www.allstate.ca. For safety tips and advice, visit www.goodhandsadvice.ca.

SOURCE: Allstate Protection Plans

Tags: Allstate, claims, Leger Marketing, storm surge damage, survey, water damage, water leak exposure