What Nova Scotia homeowners need to know about wildfire insurance claims
Halifax Regional Municipality estimates more than 200 structures have been damaged by wildfire
As wildfires continue to burn around Nova Scotia — destroying homes and businesses just outside of Halifax and in Shelburne County — many property owners will soon be turning to their insurance providers for help.
Late Monday, the Halifax Regional Municipality estimated 200 structures had been damaged by the wildfire that is burning through suburban communities about 25 kilometres northwest of the city.
Some structures have also been damaged in Shelburne Country, but it's not known how many or where they are, according to the Department of Natural Resources and Renewables.
Gloria Haydock, the Atlantic manager of consumer and industry relations with the Insurance Bureau of Canada, spent Tuesday at the Canada Games Centre in Halifax helping evacuees with their insurance policies and next steps.
She said many people are concerned that wildfires are not covered in many insurance policies, but she stressed that's not the case.
"I want to make it very clear, all standard homeowners' and tenants' insurance policies cover damage by fire, so that's really important to know," Haydock told CBC Radio's Maritime Noon on Tuesday.
Amanda Dean, the Atlantic vice-president for the Insurance Bureau, said although it's important for property owners to file their claim as soon as possible, it's OK if they want to wait.
"The first thing to do is get out and get safe," Dean told CBC Radio's Mainstreet Nova Scotia.
"And when it comes to that time when you have headspace to think about next steps, including insurance, the industry is here and ready to respond and know just how devastating this particular event has been and continues to be."
However, Dean said, the process will move faster if the claim is submitted earlier.
"We know at this point that not everyone has information on the status of their home. Not everyone has information on the status of when they'll be able to get back in, but getting your insurer to open that claim will allow them to assign an adjuster once more information is known," she said.
"So that will allow them to line up those adjusters and pull in additional resources if they are needed for this particular event."
She said someone needs advice, they can call the Insurance Bureau's Consumer Information Centre at 1-844-227-5422.
What will be covered
Dean said under a standard homeowner, tenant or condo-owner policy, damage and destruction caused by fire will be covered.
She said these policies also often have mass evacuation coverage, which includes a portion for additional living expenses like hotel accommodations and meals.
"It might be noted on your policy with the acronym ALE, so keep all of those receipts and it is also important to note that it starts from the date of evacuation," she said.
"There could be a limit to this coverage, so check with your insurance provider when you can in terms of what the limit on your particular policy is for those additional living expenses."
Dean said if you have lost your home, the cost of building a new home or purchasing a new one could be covered — but how much depends on the policy you have.
"You own that piece of land and your policy also includes the remediation of that land, so in the event of a total loss, if there's a home that's burned down, there is going to be a big burned out area that needs to be cleaned up, so that's part of your policy as well," she said.
What happens after a fire
Brian Verboom of Stewiacke, N.S., lost his home during an electrical fire in 2018.
After the fire, Verboom and his wife spent almost 40 hours a week for an entire month making a detailed inventory of their possessions — including their age, how much was paid for them and current value — and going back and forth with their insurance company.
From that experience, Verboom wrote an informal guide with information he wished he had known before, and after, the fire.
He said his first piece of advice for people who have lost their home is to contact their insurance provider to get a copy of their policy to go through coverages and limits before costs add up.
He also recommends, if the homeowner has a spouse, to make sure both names are on the insurance policy.
"That way either spouse can contact the insurance company and have the phone conversations with them and deal with it. If there's only one on that, that one person has to do it," Verboom told CBC Radio's Information Morning Nova Scotia on Tuesday.
He said after a claim is made, it will be up to the homeowners to compile a list of everything that was lost, right down to clothes hangers, shower curtains and Halloween decorations.
"I believe we had over 2,000 things listed on our list and it's emotional and it's physically draining, but you have to go through it line by line," he said.
From that list, the insurance company will assign a value, but Verboom said in his experience, that value may not be correct.
"[The] biggest piece of advice I have is don't take their first offer," he said.
"When we did our list and sent it to them, what they gave us for a quote on what they were going to reimburse us with, to what we finalized on, was about $50,000 of difference."
Verboom also has advice for people who have not lost their homes, but are concerned about wildfires in their area.
He recommends taking a video of the inside and outside of your home once a year, at the same time you replace batteries in your smoke detectors.
That way, he said, you have a video reminder of what possessions you will need to claim.
"That walk-through video will just help you. When you see something, it'll probably bring back five more things that you probably would have forgotten."
With files from Mainstreet Nova Scotia, Maritime Noon, Information Morning Nova Scotia
