IBC Urges Governments to Activate Idle Flood-Risk Tool as Prevention Push Intensifies
The Insurance Bureau of Canada is pressing federal and provincial governments to take stronger steps on flood prevention, warning that a national flood-risk mapping resource developed for public use has been left largely unused, leaving Canadians in flood-prone regions without clear information about their exposure.
What happened
The Insurance Bureau of Canada (IBC) is publicly urging federal and provincial governments to act on flood prevention, highlighting that a flood-risk identification and mapping tool built to help Canadians understand their exposure remains underused years after its launch. The industry lobby group argues that coordination between insurers and governments is essential to reduce the growing cost of flood events across the country.
What it means for consumers
Canadians living in flood-prone neighbourhoods may not have accurate, accessible information about their level of risk, which can complicate decisions about property purchases, protective upgrades, and insurance coverage. Without broader use of available risk data, homeowners may face uncertainty when renewing policies or filing flood-related claims, particularly in regions where severe weather events have become more frequent.
What it means for premiums
No direct premium change has been announced.
Coverage considerations
If governments adopt and expand the use of flood-risk mapping tools, insurers could refine how they underwrite properties in high-risk areas, potentially leading to more risk-based pricing and clearer coverage options tied to mitigation efforts. Conversely, continued underuse of available risk data may leave insurers and policyholders working with incomplete information, which can affect both the availability and clarity of flood coverage across standard, replacement-cost, and all-risk policy types.