Public relief and insurance for residential flood losses in Canada: Current status and commentary. Issue 1 (2nd April 2016)

• Record Type: Journal Article
• Authors: Sandink, Dan; Kovacs, Paul; Oulahen, Greg; Shrubsole, Dan
• Is Part Of: Canadian water resources journal =. Volume 41:Issue 1/2(2016)
• Page Start: 220
• Page End: 237
• Publication Date: 2016-04-02
• Subjects: Water resources development -- Canada -- Periodicals; Water conservation -- Canada -- Periodicals; 333.9100971
• DOI: 10.1080/07011784.2015.1040458
• Languages: English
• ISSNs: 0701-1784

Abstract

Abstract : Flood-affected households in Canada rely on a complex arrangement of public disaster assistance and partial private insurance coverage for flood recovery. Recently, calls have been made for a review of the role of private insurance in residential flood losses; however, there are many challenges associated with the introduction of private flood insurance. Some ways to increase the viability of flood insurance include providing flood coverage for a variety of flood types, limiting coverage for very high-risk households and implementing risk-based coverage. To be effective, flood insurance will further require households, insurers and governments to participate in the reduction of flood risk. Governments and insurers should work toward a national, consistent approach to flood hazard assessment that includes assessment of a variety of flood types that affect households and supports both non-structural flood risk reduction and insurance pricing. Governments and insurers should further work to reduce the number of very high-risk households and improve the quality and accessibility of flood loss data. Furthermore, households will have to become better informed of the specifics of insurance coverage and bear a portion of flood losses through risk-based insurance pricing and conditions.