Natural Catastrophes and Personal Property Insurance

In order to enhance its preliminary understanding of the impact of natural catastrophes, CCIR seeks input on the following issues: • the impact of natural catastrophe-related events on the Canadian personal property insurance marketplace; • personal property insurance coverage currently available for natural catastrophe-related events in Canada; and • consumer understanding of the risks associated [...] The mandate of the PWG includes the following: • review the type and availability of natural catastrophe coverage for personal property insurance in Canada; • understand changes in the marketplace resulting from natural catastrophes; and • understand the impacts that these changes have on consumers in terms of their insurance coverage and their awareness of risk. [...] The PWG would also like to thank the Canadian Association of Direct Relationship Insurers (CADRI) for meeting with the PWG and presenting the findings of its Homeowner Property Insurance Survey Report.2 The PWG acknowledges the contribution of the Participating Insurers, who provided samples of their comprehensive policy wordings, endorsements and marketing materials for review. [...] CCIR seeks stakeholder input with respect to the following issues: • the impact of natural catastrophe-related events on the Canadian personal property insurance marketplace; • personal property insurance coverage currently available for natural catastrophe-related events in Canada; and • consumer understanding of the risks associated with natural catastrophes, and their degree of coverage. [...] Because of the rapid evolution of these modeling techniques, the Office of the Superintendent of Financial Institutions (OSFI) has developed the Earthquake Exposure and Best Practices Guideline, which sets out key principles and best practices to assist Canadian insurers and reinsurers in developing strategies to manage earthquake risk.19 Similarly, as earthquakes are of particular risk in Québec,