Wildfires stop sales of new auto, home insurance policies well outside evacuation zones in N.S.

Insurance companies have stopped issuing new home, auto and other insurance policies in parts of Nova Scotia because of wildfires.

The restriction was triggered by the province's emergency declaration and will remain until the order is lifted.

It is delaying the closing of some homes and car sales in areas up to 50 kilometres outside the fire zones.

"This would apply to any new business. A new home, new vehicle, but it could also mean if you were putting an addition onto your home or if you were changing something related to one of either of those," says Jennifer MacLeod, president of the Insurance Broker Association of Nova Scotia.

Depending on the insurance vendor, the halt is being applied to people living within 25-50 kilometres of evacuation areas.

Amanda Dean, vice-president of the Insurance Bureau of Canada, says each company is different so check with your insurer.

"This is what people are hearing, that there would be a company with a 25-kilometre radius, a 50-kilometre radius, There's probably another out there with a 30-kilometre radius and they will resume writing policies once the state of emergency is over," Dean says.

"What I am seeing more of is in the 25-kilometre range" from evacuation zones, says MacLeod.

The halt does not apply to renewals of existing policies.

In the case of home sales, the current homeowner will have their policy extended so there will be insurance on the home. It does delay the closing.

It can also delay picking up a new vehicle.

"This is quite typical, especially in a wildfire situation. Just in Atlantic Canada, we're not used to wildfires. So out West this happens all of the time that insurers just stop selling new policies," Dean tells CBC News.

The same new policy limitation is imposed when a hurricane strikes, she says, adding insurers are focused right now on recovery and working with the clients directly impacted by the fires.