Almost 1 in 3 insurance claims are due to a catastrophic weather or climate event: Allstate Canada
Homeowners taking steps to prepare during clear blue skies can help reduce the impact of the next storm
Markham, ON (Apr. 7, 2025) – Catastrophic weather and climate events are no longer a rare occurrence in Canada. According to a recent Léger poll conducted on behalf of Allstate Insurance Company of Canada, only 27 per cent of Canadian homeowners who responded say they are very confident their home is prepared for a major weather or climate event, such as a tornado, flooding, wildfire, or hail that cause wide-spread damage to communities.
Allstate in-house data shows that 29 per cent of claims it received over the last 10 years – that’s almost 1 in 3 – were from major weather or climate events. Analysis shows the number of claims due to large events was particularly high in 2024, with approximately 2.4 times more claims when compared to 2023.
In fact, the Insurance Bureau of Canada’s industry-wide numbers show that 2024 shattered the record for costliest year for severe weather-related losses in Canadian history, at over $8.5 billion. Given the real possibility of such events in the future, being prepared requires ongoing education and information to support homeowners with adopting proactive behaviours.
‘‘Large weather and climate events are affecting more Canadians more often, year after year,” says Odel Laing, Agency Manager at Allstate Canada. “Insurance coverage can help people recover their homes and vehicles following a severe storm or wildfire, but the family heirlooms, photographs, and other personally important items are more difficult to replace. So, taking steps to prevent or reduce the risk of damage is key.’’
How Homeowners Can Prepare for Catastrophic Weather or Climate Events
Laing offers the following tips that may help protect families and mitigate property damage from a major weather or climate event.
- Create an emergency plan: Identify safe spaces in your home, establish a family communication plan, and know local evacuation routes.
- Build an emergency kit: Have essentials ready for 72 hours, including water, non-perishable food, flashlights, first-aid supplies, and important documents in waterproof containers.
- Secure your property: Install sump pumps, backwater valves, and reinforce windows and doors to help reduce damage from floods and severe storms.
- Prepare for wildfires: Clear dry vegetation around your home, use fire-resistant materials on your home.
- Review and update your insurance: Make sure you have the right coverage you need for you and your family.
For more preparedness advice, visit the GOOD HANDS® blog.
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. 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, Catastrophe, claims, Natural Catastrophes